PROPOSED BUSINESS STRATEGY TO IMPROVE AND SUSTAIN DONUT FACTORY BUSINESS (CASE STUDY: DK DONAT)

• Main Author: Jumardi
• Format: Theses
• Language: Indonesia
• Subjects: Manajemen umum
• Online Access: https://digilib.itb.ac.id/gdl/view/67948
• Institution: Institut Teknologi Bandung

DK Donat is a pioneer donut company from Bandung, which was founded in 2008. This factory was established by Dading Karyana to supply donuts to all areas of Bandung City and its surroundings. DK Donat produces donuts every day according to the orders of its resellers as the main market in this business. Resellers buy donuts from DK Donats and resell them to consumers by cooperating with stalls, shops, and selling them independently. Since 2014, DK Donat has experienced a significant decline in productivity. One of the causes is the high level of competition in the donut industry, especially the city of Bandung. The large number of competitors, low differentiation, and low switching costs for consumers make the level of competition in the donut industry high. In selling its products, DK Donat still has dependence on resellers who have the characteristics of price sensitive buyers. This makes DK Donat not flexible in determining the price of its products and must follow the market price. DK Donat's product innovation is also still left behind by its competitors. Currently, DK Donuts does not have a clear business strategy direction to increase its competitiveness in the donut industry. In this study, the researcher proposes a business strategy that is formulated from the results of the analysis of internal and external factors owned by DK Donuts so that it can be used as a competitive advantage in the donut industry. DK Donat requires a clear business strategy direction to be able to improve its business performance. The business strategy is reduced to a functional level and becomes a recommendation for activities that DK Donat can do to improve its business performance.