A History and Overview of Pizza Hut Essay

began operation as a single pizza shop run by two brothers, Dan and Frank Carney, in Wichita, Kansas on June 15, 1958. The chain grew to 43 restaurants in 1963 and 296 in 1968. went public in 1969 and was acquired by PepsiCo, Inc. in 1977. By 1981 had become the largest pizza restaurant chain in the world both in sales and number of restaurants. At that time there were 5,025 domestic units and annual sales of almost 2 billion. Before 1984 saw no real competition from Domino's in the overall pizza market. COMPETITION NEED FOR HOME DELIVERYThe challenge of Domino's changed in 1985 when they opened 954 new outlets bringing their total to 2,839 which was the largest expansion which had ever occurred in the food service business. Since Domino's was essentially a delivery-only chain the pressure was placed on to compete for the market. The expansion of Domino's had led to competition in the locations where had been the only local pizza shop. After the aggressive competition by Domino's the market share of declined by 3 to 15.4 in the 53 Billion fast food market. Another important reason for to enter the Home Delivery market was to capture the fast growing market of Home Delivery that increased to 7 Billion from just 0.1 Billion in a span of 8 years. In the time span of 1984 and 1985 the home delivery of pizza grew to be the newest and fastest growing fast food concept. People who had enjoyed dining out for pizza were also ordering delivery pizza for additional meals or even evening snacks. The market was opening up and becoming very successful. felt they needed to jump into this area of sales. By 1986 there was a surge of business in the pizza market. The main reason for this increase was the home delivery of pizza which had suddenly gained great popularity.FRANCHISING CONCEPT ITS DISADVANTAGES had a logistical problem...

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