food concepts plc. managing competition - wimbizwimbiz.org/publication/fc managing competition...
TRANSCRIPT
Est. 2001…Group Structure…
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Food Concepts Group Limited (FCG)
Chicken Republic Free Range Farms (FRF) Plc
FCG has over 700 retail and corporate investors within and outside Nigeria
including IFC and DPI
Employs ~1,500 staff in Nigeria and Ghana
Over 100 properties under management.
Butterfield Bread
AgribusinessBaked GoodsQSR
...Well diversified product portfolio to drive it’s FARM TO FORK Strategy
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• Largest chicken franchise QSR in Nigeria.
• 65 stores across West Africa.
• Known for its authentic African spices
Ch
ick
en
Rep
ub
lic
• Largest industrial bread producer in Nigeria with combined capacity of
85,000 loaves a day.
• Currently investing in expansion that is expected to increase daily capacity to
500,000 loaves and produce specialized products for QSR business.
• Operates plants in 7 Nigerian states including Lagos, Abuja and Rivers.
Bu
tterf
ield
• Backward integration initiative to ensure competitive advantage
• Currently produces ~100,000 broilers per month; expected to grow to
~1,000,000 per month.
• Integration includes a Broiler farm, processing plant, feed mill, hatchery and
parent farm
• Currently supply fast food, supermarkets and hotelsFre
e R
an
ge F
arm
s
FC Competes Across the Value Chain
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Integration Across The Value Chain Has Enhanced the FC’s competitive advantage…
FC Faces rigorous competition across all owned brands. However the company has been
able to increase its competitive advantage through strategic expansion across the value chain.
The company currently operates a farm to fork business model to remain competitive.
FC
Ow
ned
Bra
nd
Co
mp
eti
tio
n
Artisan Bakers
Threat of New
Entrants
Equipping for competition…
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Porter’s 5 forces vs Practical Forces…
Porter’s 5 Forces
Rivalry among existing
competitor
Bargaining power of
suppliers
Bargaining power of
buyers
Threat of substitute
Threat of new entrants
Managing Competition
Adequate Funding
Unique Product offering
Extraordinary Customer Service
Effective Management and People
Efficient Processes
For Example…
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Funding
FC has raised over US$75 million in equity funding over the last four years through retail and institutional
investors.
Management and people
Has a diversified board including institutional investors and experienced senior management team.
Efficient Processes
Implemented Oracle as an ERP and Micros POS to drive process efficiency
Product offering
Developed Central Kitchen for product consistency and variety
Developed Secret African Spices that meet our local taste profile
Constantly innovating new products such as our Spicy Crunch, Chickwhiz, wheat bread, and crunch wings
Customer Service
Recently established a leadership training school for effective customer service and people development
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“We have always had a pretty competitive ferocious
battle with British Airways. It lasted about 14
years and we are very pleased to have survived it.”
– Richard Branson