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The Professional Student: Porter’s Value Chain Analysis, Subway Sandwiches

Welcome back to The Professional Student! In continuing with the theme of examining Subway Sandwiches, graduate students at Western Carolina University were challenged to create a value chain analysis.

Please enjoy my presentation on YouTube, and as always, don’t forget to comment. Thanks for stopping by. I appreciate and value everyone’s feedback and support! 

References

How can we help?. Franchising FAQs. (n.d.). https://www.subway.com/en-ge/ownafranchise/franchisingfaqs?ak_r=3af03b25-0373-47e0-aae4-48e5a019c494#a12

How does training work | Subway | indeed.com. (n.d.-a). https://www.indeed.com/cmp/Subway/faq/how-does-training-work?quid=1cfarq6dq5j58fr4

Jurevicius, O. (2024, March 19). Subway SWOT analysis 2023 – SM insight. Strategic Management Insight. https://strategicmanagementinsight.com/swot-analyses/subway-swot-analysis/#:~:text=High%20employee%20turnover.,to%20overall%20costs%20of%20Subway.

Karthikeyan, A. (2023, May 4). Subway’s marketing strategies: Fresh Thinking, fresh eating. StartupTalky. https://startuptalky.com/marketing-strategies-of-subway/ 

McMahon, C. (2024, February 26). What is the average income of a subway restaurant franchise owner?. StartupNation. https://startupnation.com/start-your-business/whats-the-average-income-of-a-subway-restaurant-franchise-owner/#:~:text=Some%20said%20franchisees%20should%20expect,%24150%2C000%20a%20year%20or%20more.

Our commitment. (n.d.). https://www.subway.com/en-ge/aboutus/socialresponsibility/ouroverallcommitment 

Peterson, H. (n.d.). Subway is one of the cheapest restaurant chains to open – here’s a breakdown of all the costs. Business Insider. https://www.businessinsider.com/what-it-costs-to-open-a-subway-2015-3 

Schroeder, E. (2022, June 1). Subway focuses on franchise development strategy. Baking Business. https://www.bakingbusiness.com/articles/56499-subway-focuses-on-franchise-development-strategy

Subway management salary in North Carolina – ziprecruiter. (n.d.-b). https://www.ziprecruiter.com/Salaries/Subway-Management-Salary–in-North-Carolina

What is a value chain analysis? 3 steps: HBS Online. Business Insights Blog. (2020, December 3). https://online.hbs.edu/blog/post/what-is-value-chain-analysis 

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By The Professional Student

Hello, and thank you for visiting my blog. My name is Shawn Smallwood. I'm an Army veteran, a classically trained pastry and savory chef, a former small business owner, and a graduate student who brings a unique perspective to innovative leadership and entrepreneurship.

5 replies on “The Professional Student: Porter’s Value Chain Analysis, Subway Sandwiches”

Shawn,

Thank you for breaking down the value chain analysis. By using actual companies with mostly a more simplistic menu, it has been possible for me to grasp some of the assignments a little easier. I wish I would have been able to watch allof your videos before completing my assigments but work would not allow me. I get gaps in time the week to work on these tasks and life starts lifeing in those gaps. Mcdonald’s has very strict sourcing policies and very high turnover as well. Most franchise owners make money by cutting labor and paying employees poorly because they fail to improve customer service and the quality of their product especially in independent franchises. Good analysis on Subway!

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Hi, Tonya!

I’m glad that you’ve found my blogs helpful! I wouldn’t worry too much about time. I have to be honest; the workload in this course took me by surprise, and it has been a struggle to stay on track. Interestingly, the same cycle continues to repeat itself by paying fast food workers low wages (or in other places like Walmart), which results in poor customer service and high turnover. The bottom line, no one cares as long as the money continues to flow. Change has to start from the top, which begins by empowering the bottom with respectable wages and treatment.

Kindly,
Shawn

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Shawn,

Well done indeed! One thing I really appreciate about how you have approached this project while selecting an existing business, is that you go into great detail about the business and its processes. Given there is documented info regarding these businesses, I think this is a very important step to ensure you are diving deep and going beyond the surface level. Thus, while a hypothetical business may be a bit less detailed due to its early stage, you are going extremely deep because you have an existing business with a track record and mounds of data to fall back on.

Likewise, your take on the supply chain and logistics was spot on, which transparently, would be of primary concern to me right now if getting into the F&B industry. Previously, I was part of a venture owning several franchises, including Jimmy Johns and I can tell you that managing supply chain and logistics are two of the most challenging aspects of managing any F&B venture. There are countless factors that remain outside of ownership’s control, which is both frustrating and scary. Thus, how these factors are managed for any business or entity can be either an immense value or a massive liability. Great job calling this out!

Cheers,
Zane Breeding

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Zane,

Thank you for your kind words and feedback. Logistics can be a nightmare in any industry, but I think they have improved and continue improving with the evolution of supply chain management. Technology is helping bridge the gap between raw materials suppliers, manufacturers, third-party shippers, and distributors. Now, mostly everything can be tracked online, which keeps everyone in the loop on where supplies or goods are.

Kindly,
Shawn

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