Case study on brueggers bagels bakery case study

Introduction

Bruegger’s Bagels are the undisputed number one producer of Bagels in the United States. The company operates approximately two hundred and fifty chains across the United States in almost 18 states. Brugger’s bagels make an assortment of bagels with plain, onion poppys seed, cinnamon, and raisin bagels. The company also makes assorted flavors of ice-cream and cheese. In addition to making Bagels, Bruegger’s Bagels offer products such as scones, salads, coffee and sandwiches. Sun Capital Partners Inc owns the company that was founded in 1983 by Brue and Dressel to produce a single item. At this time, Bagels were pretty new in the American society, however, by 1990s the bagel craze had spread across the nation, and the company was doing very well. The company has transformed into a $ 3 billion dollar business turnover a year. Breugger’s bagels are popular for consumers because of their low level of fat and acclaimed original and authentic taste.

Why Bregger’s Bagels is Unique

Customers lover Bregger’s bagels because the bagels are genuine and made from high quality ingredients. The bagels have high protein and are made from unbleached wheat flour that is never powdered. This makes the Breugger’s bagels different from other bagels that have additives for preservation. While other bagel manufactures steam or freeze their bagels for transportation, Breugger’s bagels are made the old-fashioned way to ensure that they retain the original taste. Perhaps one reason why Bregger’s Bagels is because of the company’s over emphasis on quality. The company makes high quality bagels while emphasizing high variety of shapes and sizes ranging from appearance to taste.

Inventory

Because of limited refrigeration and less additives for preservation, Bruegger’s bakery operate small inventory that has a high turnover to keep the freshness of the products. Another reason why the company keeps a small inventory is that it wants to minimize costs of productions and to reduce waste of products that go bad.

Expansion

In the initial years, Brue and Dressel were skeptical of expanding their company. Their original goal was to ensure that they had a total grasp of the market before opening another branch and eventually going national. This is where the company employed a plan that was called six plus six plus six business plan. This included opening six units in six markets over the following six years as an experimental design of expansion. This was a successful plan by every standard. Within the first six years, the bagels had become popular amongst the metropolitan people in Boston, Minneapolis and other regions.
1996 Acquisition buy Quality Dining
After almost a decade of rapid expansion, the company, the company eventually gave in to the pressures of joining the IPO as a way of garnering the required resources for expansion. This move was fuelled by the competitors that were expanding rapidly thus threatening the company. However, this did not fare very well for the company. The acquisition by Quality Dining Inc was a disaster since the rapid expansion devalued the company’s stock. In the 291st Century, the company has revamped after a new company Sun Capital inc bought it an implemented changes that make it a formidable competitor in the bagel industry.
Still, the unique thing about Bruegger’s Bagels Bakery is its unique capability to use traditional methods of bakery and still stay afloat in the competitive food industry.

Works Cited

International Directory of Company Histories, “ Bruegger’s Corporation History.” Browse Company Profiles:. Brinker International, Inc, 3 Mar. 2012. Web. 01 Aug. 2012..