Business Case: Panera Bread CompanyThe primary challenge is to determine how Panera Bread can continue to achieve high growth rates in the future. Panera Bread operates in an extremely competitive restaurant market that forces the company to constantly improve and grow to remain profitable. The company's mission to put “a loaf in every arm” is at the core of Panera's commitment to growth. They are now in a good financial situation and face growth rates of up to 20% per year in a niche market that has great growth potential. Over the next 7 years, the fast-casual market is expected to grow 500% in sales to a total of $30 billion. So I think there are 3 alternatives that can be considered for the future. The first idea that came to mind was to sell Panera or join one of the big players in the restaurant industry. Panera has an extraordinarily high market value, as indicated by the estimated goodwill on its balance sheet. By joining with a large franchising company like McDonalds or Burger King, Panera's expansion could be supported with a much larger sum of money. The downside of this deal would be that Panera executives would lose their power of control over the company's operations and allow the combined company to abuse Panera for its own interests and goals. Considering these issues by joining with another company opens up questions about the need for a joint venture which led me to the second alternative. The company should keep up with its model strategy of constant growth and producing high-quality products. Panera has done very well over the past couple of years, and the fast casual market has a lot of untapped potential for the future. However, Panera must be aware of major franchising competitors who have the power and willingness to compete with Panera for customers, market share, and profits. This serious threat could lead to a long-term sales recession. Panera does not yet have the financial strength of McDonalds or a similar major franchise. My third idea was the opportunity for international expansion that would allow Panera to become a forerunner in the global fast-casual market. So far there is nothing similar in the European market and it could fit perfectly into European culture.