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Panera Bread Goes Down Under Eric Marzec, Chris Stach, and Laura Wagner MBA 681 – Fall 14

Australia States & Territories :

Australia States & Territories States New South Wales Highly populated Victoria Capital city- Melbourne Queensland Second largest state South Australia Capital city-Adelaide Western Australia Largest state by area Tasmania Most Mountainous Islands Territories Northern Territory Australian Capital

Australia-Political Background :

Australia-Political Background Defined as a Constitutional Monarchy Each state and territory has its own government Goals of government: Debate and vote on new laws Uphold existing laws Enforce existing laws Current Treaty with the United States

Australia-Climate:

Australia-Climate Northern States Experiences ‘warmer’ weather Southern States Experiences ‘Cool’ Winters The winter months allow for skiing in the higher mountains for those in New South Wales and Victoria.

Australia-Geography:

Australia-Geography World’s smallest continent 20% of its land mass is considered desert Australia resources: Coal Oil Uranium Soil/Australian Forest Lowest, flattest, and driest Not including Antarctica

Australia-Population:

Australia-Population 22.7 Million People Ethic groups: European Asian Origin Sydney and Melbourne are considered the largest 1.7% population growth. Birth every 1 minute 44 seconds Death every 3 minutes 32 seconds

Language :

Language Language Official: English Other common languages: Mandarin, Italian, Greek, and Arabic Accents

Religion:

Religion Freedom of religion No official state religion 64% Christians 22% no religion

Economy:

Economy Workforce Population: 23.2 million people Highly skilled, motivated, equalitarian Unemployment rate 6.2% 11 th largest economy Contributors to GDP

Country Analysis Trade Statistics:

Country Analysis Trade Statistics Top 2 export markets Japan –China (15.5-31%) APEC Region / 80% of Australian Trade China (15%) = Largest Importer Fastest growing trend (Iron, Steel, Aluminum) 24 th top import Cotton is the “sleeper” among the economy Expected to grow 50% in 5 years

Country Analysis Exchange Rates:

Country Analysis Exchange Rates Currency (AUD) $1 USD = 0.89AUD Stability Future expectations http://www.afr.com/p/global_currency_stability_amid_geopolitical_U4IbiBnwGE1ixnR4vnG3UM

Country Analysis Trade Partners:

Country Analysis Trade Partners Founding Member of APEC (1989) G-20 Member RCEP – 2012 Regional Comprehensive Economic Partnership http://www.dfat.gov.au/trade/regional-economic-architecture.html

Country Analysis Technology Interests:

Country Analysis Technology Interests IT makes up 2% of their largest companies 19% of USA Companies are IT Largest Tech company in Australia Market cap $6 Billion USA Top 5 tech have $200+ Billion Market Caps

Country Analysis Infrastructure:

Country Analysis Infrastructure Developed Economy Planes, Trains, Bus, Cars Flying Domestically Popular Quantas Airlines (Quality) Jetstar Airlines(Low-Price) 80% Domestic Travel

Country Analysis Distribution:

Country Analysis Distribution ARA Australian Retailors Association Largest Industry $258 Billion Sector Employs 1.2 Million people 5,000 Independent / National Retailors

Market Analysis Product or Service Selected:

Market Analysis Product or Service Selected The Panera Bread Company Rapid US Growth Australia has Fast-Causal Trends 20 years of growth Withstood the test of time Panera exercises CSR

Market Analysis Rationale for Panera Bread:

Market Analysis Rationale for Panera Bread Panera’s long-term outlook Panera CSR strategy Panera Cares Panera’s ability to Operate under (3) Names Panera Bread, St. Louis Bread, Paradise Bakery & Café

Why Australia for Panera?:

Why Australia for Panera? Similarities to U.S. C ulture High Median Wealth Continued Economic Growth Resources to provide fresh product Relaxed culture $234,000 23 years Consecutive Years Global Leader in Agricultural Products

Target Market:

Target Market Anyone craving a baked good Expected to value healthy options High Income Level

Product Use:

Product Use Tailor menu selections to Australian palate Continue franchise business model

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