Constraints
The business constraints for projects might involve different factors limiting their capabilities. Speaking about Lucky Lou’s Rice pudding, it is vital to mention physical limitations. At the moment, some physical limitations might prevent the company from further rise. The fierce rivalry peculiar to the sphere shows the need for significant network capacity to compete with other companies in the market. For Lucky Lou’s Rice Pudding, it might be a complex task because of the lack of facilities. Second, there are some budget limitations as the brand cannot overspend and devote too much money to its expansion or growth attempts. There is a need to preserve the balance and avoid deficit or financial issues.
Opportunities
The company has several opportunities for further growth. First, it can benefit from acquiring loyal clients attracted by unique taste, service, and brand image. The comparatively small companies might compete with giant brands by emphasizing the feeling of being a part of a specific culture, and good, friendly, and person-focused relations. By cultivating these features, the brand can hope for the growth in the number of clients every year, and it’s becoming more popular in other states. Successful franchising can be another option if the level of interest in Lucky Lou’s Rice Pudding continues to rise and people are satisfied with the quality of offered services.
Threats
As stated previously, the central threat is the high and the constantly growing rivalry in the sphere. Because of its ability to guarantee high income for all participants, it attracts new brands and actors, meaning that for Lucky Lou’s Rice Pudding, the threat of new entries remains high. It should be ready to struggle with other companies which focus on the same target audience and offer similar services (Rothaermel, 2016). Moreover, the current crisis caused by the pandemic and severe restrictions can be viewed as another threat to the business as it should adapt to the new conditions and survive. Finally, Lucky Lou’s Rice Pudding should possess increased flexibility to struggle with pressure from both competitors and forces affecting the whole market.
Positioning
Lucky Lou’s Rice Pudding operates in a highly competitive environment, which means that there are multiple rivals. The main competitors are similar brands offering food and delivery service to different clients. The points of parity are focused on the convenience of clients and on-time delivery. However, the company tries to cultivate the points of difference, such as fresh and healthy products, ease of purchase, social responsibility, and local production. These aspects help the company to generate a competitive advantage and struggle with its closest rivals. Moreover, this unique positioning helps to create a recognizable image of the brand and attract new clients, which is vital for further evolution.
Plan for Protecting Competitive Advantage
Because of the industry rivalry, Lucky Lou’s Rice Pudding should continue cultivating the points of difference and factors ensuring its ability to compete. First, it is vital to improve delivery services and ensure clients are provided with products in time and have no problems with the ordering procedure. Second, the brand should continue adding local and healthy dishes to its menu as a way to attract local clients (Rothaermel, 2016). Finally, the company can add some unique positions to the menu as it will help to differentiate it from other brands and increase the loyalty of clients. Following these steps, it is possible to generate a competitive advantage for Lucky Lou’s Rice Pudding.
Reference
Rothaermel, F. (2016). Strategic management: Concepts (3rd ed.). McGraw-Hill Education