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For example in this case, Krispy Kreme has tried to growth itself from 144 to 500 stores within 5 years (Bruner p.84). This goal is feasible if the management focuses itself on the expansion; however, based on the critique by Glenn M. Guard from Legg Mason, Krispy Kreme’s management has focused itself on how to make its stock price more attractive to the shareholders.
We believe this is due to un-clear communication and un-focus management. Krispy Kreme set two goals: to increase stock price and to expand; however, the expansion aspect of the goals are not well managed and implemented. There isn’t sufficient market research done on the new locations that Krispy Kreme is opening up...
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