The Different Business Approaches That Broadway Cafe Can Take To Increase Profits, Keep The Business Running, And Bring The C

The Different Business Approaches That Broadway Cafe Can Take To Increase Profits, Keep The Business Running, And Bring The Cafe Into The 21st Century


TOC o “1-3” h z u HYPERLINK l “_Toc378998143” introduction PAGEREF _Toc378998143 h 1

HYPERLINK l “_Toc378998144” Competitive Advantage PAGEREF _Toc378998144 h 2

HYPERLINK l “_Toc378998145” E- Business PAGEREF _Toc378998145 h 3

HYPERLINK l “_Toc378998146” Networks, Telecommunications, and Wireless Computing PAGEREF _Toc378998146 h 4

HYPERLINK l “_Toc378998147” Customer Relationship management PAGEREF _Toc378998147 h 5

HYPERLINK l “_Toc378998148” Systems Management PAGEREF _Toc378998148 h 6


The Broadway café has been a hotspot for many years, owing to the array of products and services provided by the coffee shop. However, the popularity of the coffee shop among consumers has decreased over the last few years, thus reducing the sales and profitability of the business. Observably, most of the shop’s facilities are outdated even with the apparent technological demands of the 21st century. Most orders are done manually thus slowing the service process, as well as, the increasing a for the staff to document business activities. The company’s manual approach to documentation has also affected communication, especially with clients and customers to the coffee shop. Notably, there is a need for change of the company’s business operation. At the outset, the company needs to make a change from the manual approach of work operations to a systematic, technological approach. The first step would, therefore be the introduction of computers to the business so as to store all the relevant information regarding food recipes, customers, inventory, employee payroll, and all marketing activities by the company. The second step would be the establishment of a company website for proper advertising of the company to communities outside the local region. This is necessary for the increment of sales, as well as, the creation of awareness among customers. The website will be used as a marketing tool for the company, and will be accessible to customers worldwide.

Accordingly, this project examines the different business approaches that Broadway Cafe can take increase profits, keep the business running, and bring the cafe into the 21st century. The project draws attention to five main strategic approaches including competitive advantage, e-business, networks, telecommunications, and wireless computing, CRM, and systems management.

Competitive AdvantageTo discern the café’s competitive advantage, the five forces of Porter’s model are used. The café has the advantage of supply power. This in turn ensures that its quality is maintained as it can dictate the suppliers it wants to deal with. There are other cafes within the same location as Broadway Café, and this means that it services as well as products are being threatened by the existing substitutes (Nash, 2000). The café will have to include more items in its menu, in order to compete with other products, being sold in the other cafes. Prices will be affected by the change in menu items, as this ensures that it retains it competitive nature. In the five years that Broadway Café has existed, sales have decreased and this is due to competition from other cafes. More should be done to ensure that old and new customers are retained. This means that the café’s buyer power has to be increased (Baltzan & Phillips, 2009).

Almost regularly, Broadway café is affected by new entrants, which are a threaten it. In order to deal with this problem, it must improve the services and products it offers. Most of the other cafes are modernized as compared to Broadway café. The competitors have payroll, computer systems, which are upgraded. Broadway should find a way of obtaining the latter, in order to ensure that its sales increase, as well as cutting costs down (Nash, 2000). Through efficiency, the rivalry it has with the other competitors will be reduced. Lastly, differentiation strategies should be used to ensure that Broadway Café is rebuilt. Broadway café should be different from its competitors in many ways. The customers should be able to benefit from services such as Internet, which is wireless, a relaxed ambience, among others. This will ensure that Broadway café is competitive as well as customers benefiting from the services and products (Baltzan & Phillips, 2009).

E- Business A B2B will be used by Broadway café in its E-business strategies. This will help the business benefit, in terms of obtaining credible dates for delivery and shipping information. Also, the café’s efficiency will be achieved as every aspect of the business will become updated. Value adding and innovation will occur due to the B2B strategy (Baltzan & Phillips, 2009). E-business will promote data storage, sales tracking, as well as other information regarding employee schedules. Managing of employees will become easier and this will ensure that money and time is invested wisely. An Extranet will ensure that supplier information is available and transactions will be made online (Nash, 2000). A discussion board will be available through the existing portal, with benefits for all the parties involved with Broadway Café. We shall ensure that we become involved with social sites such as twitter and Facebook, to interact with the customers. Employees and customers will benefit from the two laptops at the kiosk. This is a unique differentiation strategy, as it will attract many customers depending on their needs (Nash, 2000).

The café seeks to be current as well as trendy. Since most employees are young, they will be motivated to work in this café, due to the existing environment. In turn, they will be motivated to provide customer service of the highest standards. The benefits of E-business are witnessed through efficiency, updating and streamlining. This strategy of E-Business ensures that Broadway Café gains a competitive edge. Also, it will attract more customers, who will profit the business.

Networks, Telecommunications, and Wireless ComputingBroadway should make sure that it attracts as many customers as possible through the use of technology. For example, it should make use of mobile coupons, through the use of cell phones. The coupons can be redeemed for beverage or food at Broadway Café. On a regular basis, it should hold promotions whereby, customers will be texted and be informed. A phone line will be set aside for the promotion whereby, through downloading, customers obtain the coupons. It is through electrical means that the coupons are redeemable (Baltzan & Phillips, 2009). There are benefits, which are obtained, from the use of coupons that are available in mobile phones. This is because they can be carried and stored, which in turn, makes them extremely convenient. In addition, the rates of redemption are high, as compared to coupons, which are paper based (Baltzan & Phillips, 2009). The advantages of mobile coupons are many and Broadway Café should ensure that it invests in this computing. Costs of redemption and delivery are reduced, which increases the café’s profit levels. More consumers engage in impulse buying as the mobile coupons are enticing. Broadway café should seek to ensure that it becomes mobile, as the customers are doing the same. It should come up with systems, which are innovative, to increase its profitability as well as competitiveness. Additionally, the risks involved with this system should be known and solutions found to deal with the repercussions (Baltzan & Phillips, 2009). Marketing consultants should be hired, so that they provide beneficial information regarding this campaign. Issues concerning privacy should be addressed as they can ruin a business easily. The business should keep truck of the rates of response from the customers and the benefits. This will in turn make sure that Broadway Café remains successful.

Customer Relationship managementCustomer relationship management is an essential part of business, with the success of most companies being attributed to successful customer management activities and operations (Anderson & Kerr, 2002). The Broadway café has been experiencing some delays during peak hours and the customers are observably irritated by the delays. The delays are as a result of the use of new espresso machines, and not all employees are familiar with how to operate this machines. Because management cannot explain the delay to each individual customer, the team needs to devise a way in which customers can receive clarification of the problem. Youtube is identified as the best means through which this information can be communicated. Broadway café will need to create a Youtube channel, where they would use videos to communicate to the customers. The uploaded videos can be used to explain the delays of service, and what the company is doing to reduce these problems. These videos will be used to assure customers that the company has their best interests at heart, and is committed to providing their service promise (Anderson & Kerr, 2002).

Youtube puts a face to the company, which is one of the advantages of this mode of customer communication. This is because the videos posted will be taken by company employees, preferably those in management. Most customers like communicating to real people, thus, using Youtube to upload videos in which upper executives directly address problems in the company’s operations is the best way to assure this. This will, in turn, create intimacy and trust with the customers hence improving customer relations. The only disadvantage of using such a method is inability to communicate relevant information to customers who cannot access Youtube, let alone the internet. One such customer is the older generation customer who, at most times, is not active in with the internet. The company will, therefore require to take up other communication strategies especially designed for this customer (Anderson & Kerr, 2002). Other technologies that can be used as customer communication tools include Twitter or Facebook. More specifically, twitter will require Broadway to microblog the information to customers. Twitter is an admirable communication tool because it permits direct, backward-forward communication with customers. Unlike Youtube, customers can share their thought on the company, and the management team will address their concerns and keep them updated about the company’s activities.

Systems ManagementAs one of its business strategies, Broadway café has opted for the replacement of the older, manual employee tracking system. Accordingly, the company’s management is considering exploiting the services of an employee to create a custom system, or purchasing a COTS application, thus, have an outsourcing company modify the system application for the cafe. Using an employee to custom build is a cost effective option, and will ease the procedures of training for the rest of the employees. Using an employee will reduce the high costs associated with outsourcing for the same service, which will save the company a lot of money that they can use for investment in other activities (Hassab, 2000). The disadvantages of this option over outsourcing is that it does it implies the creation of a substandard system, which can cause the company greater costs and loses. Using an employee to create the company system also implies potential system problems if conflict arises between the company and this employee. This is not a guarantee, but it should be considered when deciding on the best option to take regarding system management. Purchasing a COTS time and attendance application, Broadway café will be assured of a faultless system. However, it may be expensive for the company, and management will be required to part with a large amount of money for this purchase. The company’s management team will also ned to develop training programs for the elder employees to encourage understanding of system operations by these employees.


Anderson, K. & Kerr, C. (2002). Customer Relationship Management. New York: McGraw-Hill Professional.

Baltzan, P. & Phillips, A. (2009). Business Driven Information Systems. USA: McGraw-Hill Companies Inc.

Hassab, J. C. (2000). Systems Management: People, Computers, Machines, Materials. USA:

CRC Press.

Nash, Edward. (2000). Direct Marketing: Strategy, Planning, Execution .New York: McGraw-Hill.