Stock Symbol: WEN Mrs. Sigsworth Period # My Corporation in the News This article is about how the merger between Wendy’s and Arby’s created a need for a new corporate identity. Triarc Company, the parent company of Arby’s purchased Wendy’s. This makes them the third largest fast-food company. They are now called Wendy’s/Arby’s Group. Because two major companies have joined forces, they employees and stockholders need a new identity that will reflect the “innovative spirit of both restaurant brands. This new identify is the “W” from Wendy’s and the “A” from Arby’s. The employees will be the most impacted by this new identity. Customers will still see each company separately, but people who work at the corporate level will have to recognize that a company that used to be a competitor is now part of the team. This news affects me because I love Wendy’s but have never been a fan of Arby’s. I was not thrilled when I heard that Arby’s was buying Wendy’s because I thought it would change the menu and service that I like from Wendy’s. I have seen no real change in Wendy’s as a customer, and am glad about that. I think that this will help strengthen both restaurants which will allow them to stay competitive and grow. By combining resources they avoid wasting their profits. This could allow them to expand into new markets which would create new jobs. Sigsworth Sample My Corporation Project October 08 The Economic Impacts on My Corporation Supply / Demand: DEMAND: As more coffee shops and morning restaurants open (Firehouse Coffee, Breakfast Café), one can assume that there is more demand for breakfast on-the-go. This led Wendy’s to add a breakfast menu to their already varied selections. SUPPLY: As more people are turning to ethanol (corn based fuel) it is creating a shortage of corn for feed for cows. Since it is more expensive to feed the cattle which will become the beef for the hamburger, the burger is becoming more expensive. Circular Flow: Adding breakfast to the menu creates new jobs as a new shift is added to the day. This creates more employees who can now purchase goods and services in the market. These new employees will pay income tax to the government. Business Cycle: The economy is having a major impact on fast-food restaurants. As the economy continues to fall, people are becoming more concerned about their spending. Rather than spending more for the convenience of going out to eat, more people are packing their lunches or eating at home. Sigsworth Sample My Corporation Project October 08 My Company’s Social Responsibility As an adopted child, Dave Thomas was passionate in helping other children find loving homes. The Dave Thomas Foundation for Adoption raises awareness and educates prospective adoptive parents about what they can expect from adoption. Wendy’s also works very actively in finding homes for older children in the foster care system. To help support these causes, Wendy’s sponsors a golf tournament to raise funds to help adoptive parents pay the legal fees to finalize adoption. Wendy’s also recognizes the efforts of high school students who have participated in a school sponsored sport, maintained good grades (3.0 GPA) and been a good citizen of their community. This Wendy’s High School Heisman Award is a way for Wendy’s to give back to the customers. Sigsworth Sample My Corporation Project October 08 Avoid the cold this winter by using our convenient drivethrough window. Warm up your insides with our delicious and nutritious chili. Beat Old Man Winter! Sigsworth Sample My Corporation Project October 08 Reflection Although I was not happy that Wendy’s merged with Arby’s, I think that it will help the company get through this tough economy. Strengths Dave Thomas did such a great job building the quality reputation of Wendy’s that they should be able to continue to draw customers to their restaurants. They seem to have a strong research and development department that creates products that the consumers want. The new breakfast menu is an example of them not jumping in, but taking their time to develop a line of food for the morning that is not a copycat of what is already available. Weaknesses I think that Wendy’s has been all over the place in terms of its advertising campaigns. “Eat Great Even Late”, “That’s Right”, and “It’s waaaay better than fast food” haven’t made much of an impact. The red wigs on people is just odd. They need to develop better advertising if they are going to connect with customers. Opportunities As we are more connected in the global market, I think that Wendy’s should expand into other countries. They should use their research and development department to study the cultural differences and incorporate these into their overseas restaurant. They have a lot on their menus that would satisfy nations that typically don’t eat meat. Threats Rising costs are the biggest challenge that Wendy’s has to deal with. It has got to be tough to maintain their 99 cent menu when the cost of corn for cattle feed, gas for delivery, and minimum wage and continue to go up. Also, as more consumers worry about spending, fewer are going to go out to eat possibly cutting jobs and closing stores. Sigsworth Sample My Corporation Project October 08 Copy Headline Graphic Signature This ad is using selection (all the items on the bottom) and price (99c Super Value Menu) as their form of competition. The target market is people who like a lot of variety in their life and who would rather spend money on things other than food. Sigsworth Sample My Corporation Project October 08