Presentation Transcript

1. BonifReport 20061233 AhnJinyeong 20061227 Park Jaewoo 20061222 Kim SeongGyu
2. Contents About BONIF (1) Company Overview (2) Economic Performance Analysis 2. Strategic Management of Innovation (1) Source of Innovation - Inverse Thinking - Society Change - Global Issue - Change in Perception (2) Types of Innovation (3) Timing of Entry (4) Core Competencies (5) Collaboration Business Analysis (1) SWOT Analysis (2) TOWS Analysis (3) BCG Matrix (4) 5 Forces Model 
3. PartⅠ. About BonifPartⅡ. Strategic Management of Innovation PartⅢ. Business Analysis
4. Intro 2002 Launched 1st store Opened 100th store Incorporated Bonjuk International Franchise Co., Ltd Opened 500th store, Received the Annual Korean Franchise Business Award Received the Best Korean Brand Award Received the Grand Prize from the Korean Ministry of Industry Opened store at ICN (Inchon International Airport) Surpassed the 1,000th store milestone 2003 Company name : BONIF Foundation date : Sep, 2002 Company volume : In 2010FY Sales - 90 million dollars Assets – 27.8 million dollars Employees : 178 persons 2004 2005 2006 2007 2008 2009
5. Intro 2010 2010 Bon Dosirak starts Well Being Best Award Presidential Award 2011 Strategic Alliances Yonsei Hospital JungGwanjang Ginseng Surpass 100 billon won (100 million dollars) sales
6. Bonjuk opened the first branch in Dae-hak road of Seoul in 2002, and has opened more than 1,000 branches as of 2009. Bonjuk has not only increasingly rate of opening new branch, but also very low closing rate.
7. The calligraphy character “bon” (本) comes from an image of a tree with firmly planted roots, signifying “principle.” At Bonjuk, ‘principle” means that we make no compromise on nutrition, taste, and quality of the food we serve, and observe the highest standards we set. It also refers to the traditional brand categories, such as the salad on rice (Bibimbap), rice porridge (Juk), and noodle (Guksu), all of which are representative health foods of Korean cuisine.
8. Opening 5000 stores around the world by 2015 is our goal at Bonjuk. Coincidentally, the Korean government is actively promoting Korean culture and food in the global market as its top priority agenda in 2009, perceiving it as the next – and a much larger - source of long-term economic growth to succeed the automobile and IT industry that brought Korea to its current international status.
9. PartⅠ. About BonifPartⅡ. Strategic Management of Innovation PartⅢ. Business Analysis
10. (1) Source of Innovation – Inverse Thinking(1/10) What food is good for people’s health?(In 2002) It is food people eat when they ill CEO, Kim Chul ho Inverse Thinking
11. (1) Source of Innovation – Inverse Thinking(2/10) Past Juk was used to be only “The diets for patients” in a hospital
12. (1) Source of Innovation – Inverse Thinking(3/10) Now Bonjuk changed juk’s images from “Diets for patients”to“Healtier food products”
13. (1) Source of Innovation – Society Change(4/10) According to the survey on the people’s awareness of Hanryu, korean wave, foreigners are more interested in korean foods than in the past. This means that korean foods can be exported to other countries
14. (1) Source of Innovation – Society Change(5/10) Interest in healthy food is rising along with the expansion of the well-being trend. Organic farming has been one of the fastest growing segments of U.S. agriculture for over two decades. Organic food sales have been growing at 20% per year since 1990, increasing from $1 billion to $24.6 billions. Bonjukcatched these trends earlier than other food companies
15. (1) Source of Innovation – Global Issue(6/10) Overweight rates are the highest in the United States and Mexico and the lowest in Japan and Korea, but have been growing virtually everywhere. This means there will be serious healthy problems in worldwide.
16. (1) Source of Innovation – Global Issue(7/10) Obesity has risen to the big issue of the public health policy worldwide. Before 1980, the obesity rate was generally below 10%. However, it has increased rapidly in many countries, and more than 50% of the people in the half of the OECD countries are overweight. A key risk factor for numerous chronic diseases, obesity is a major public health concern.
17. (1) Source of Innovation – Change in Perception(8/10) Slow food is an alternative to fast food, it strives to preserve traditional and regional cuisine and encourages farming of plants, seeds and livestock characteristic of the local ecosystem. Fast food such as hamburgers and fries is very popular all over the world. It is popular for customer to spend less costs and time
18. (1) Source of Innovation(9/10) 1 2 Inverse Thinking Society Change Korean food is interesting to foreigners The sales of organic food is increasing “These Sources lead innovation to Bonjuk”
19. (1) Source of Innovation(10/10) 3 4 Global Issue Change in Perception Overweight rate is increasing Obesity has risen to the top issue of the public health policy agenda “These Sources lead innovation to Bonjuk”

20. (2) Types of Innovation(1/2)

    PRODUCT BONIF rediscovered jukwhich could bring outstanding taste to the customers PROCESS BONIF introduced CK and delivery system

21. (2) Types of Innovation(2/2)

    COMPETENCE-ENHANCING New product such as ‘Ginseng Juk’ and ‘Abalone Juk’ uses Bonjuk’s existing knowledge RADICAL Bonjuk is the first franchise to rediscover juk as the healthful and delicious food
22. Brand Loyalty Reaping increasing returns Launch first store in 2002 (‘죽이야기’ opened in 2003) Achieve 75% market share Increase in sales about 30% annually Launch new franchise stores rapidlly

    (3) Timing of Entry(First Mover)

23. CK system

    (4) Core Competencies(1/2)

    Provide a variety of side dishes Prevent being sick of eating same side dish Limit in each franchise store to offer new and various side dishes Introduce Central Kitchen
24. Convenient lunch box

    (4) Core Competencies(2/2)

    Provide delivery service instead of take-out system Focus on customers’ needs and make diverse lunch box Increase revenue more than 3 times
25. Distribution channel Medical advice Develop recipe, preprocessing & cooking method and processed food Distribute the food using 1200 stores all over the country Participate in the process of choosing material and menu according to the result of clinical trials Provide advice in respect of nutrition MOU

    (5) Collaboration Strategy(1/2)

    More than 30% of the cancer is related with nutrition
26. Distribution channel Diversification Develop recipe, preprocessing & cooking method and processed food Distribute the food using 1200 stores all over the country Advertise the ginseng juk Diversify ginseng product Provide ginseng and advice about the manufacturing (5) Collaboration Strategy(2/2) MOU Diversify their product
27. PartⅠ. About BonifPartⅡ. Strategic Management of Innovation PartⅢ. Business Analysis
28. Strength Weakness Dependency on parent brand ‘Bonjuk’ Low recognition of Bonif Brand power of market no.1 Well-being and healthful korean food Distribution and data processing system

    (1) SWOT Analysis

    SWOT Low entry barriers Difficulty in managing franchise stores because of increase of stores Possibility of health control scandal Government’s interest in globalization of traditional food Trend in growth of well-being market Opportunities Threats
29. S-O (Offensive) (Risk Aversion) S-T Make star menu and brand image as no.1 Optimize data processing and distribution system Move the store to the core business area Enter the global market using korean food Marketing enforcing well-being image Expand range of business(‘Bibimbab’, ‘Guksu’)

    (2) TOWS Analysis

    TOWS Complete franchise system Diversify the company to grow bibimbab, guksu and dosirakbusiness Construct the best health control system Reinforcing the competitiveness of bibimbab and launching the dosirak brand successfully Branding the Bonif company W-O (Defensive) (Turn-around) W-T
30. Star Question Mark High Market Growth Low Cash Cow Dog High Low Middle Market Share

    (3) BCG Matrix

    It has largest market share and its market has great potential to grow Position of Bon on BCG Matrix : Star
31. (4) 5 Forces Model New entrant Industry Competitors BonIF has not only offline stores but also online shopping mall. Buyers Suppliers Substitutes Instant food