External EnvironmentEconomyThe US economy is still recovering from a recession. Despite poor economic conditions, Krispy Kreme has managed to have steady revenue growth. Krispy Kreme, however, operates in a low-cost industry, so the rise and fall of the market does not impact their revenues as significantly as higher-priced luxury goods. Sociocultural/Global If and when Krispy Kreme decides to go global, it will enter a whole new world of adaptation. to different markets. They will no longer be able to offer their hot, fresh glazed donuts and expect them to be sold in every market. France, for example, has built a global reputation on fresh baked goods; therefore their key branding technique would not be as effective in such a culture. However, the hot and fresh donut strategy works very effectively throughout the United States with two exceptions. The first is the growing number of obese Americans. With increasing media attention directed at the downsizing of American quick-service restaurants, Krispy Kreme has come into the mainstream media's sights. The other obstacle to Krispy Kreme's complete success is the all-in-one convenience attitude. Proven by Wal-Mart's success, offering customers as much as possible in one service is a sure draw for modern American consumers. Breakfast aside, not many people consider the donut as a complete meal, it is generally considered a dessert or at most a snack. Krispy Kreme is therefore faced with the problem of offering a greater variety of lunch and dinner meals, or changing the way America perceives donuts to increase sales in existing markets. Technological Although the technology for making donuts has not made much progress in the recent past, however...... middle of the paper ...... w-fat donuts Co-branding opportunities how to sell donuts at Starbucks Threats Increasing competition by large and small donut chains. Krispy Kreme's market share erodes slightly in highly competitive markets. While there are many complaints from local chains when a Krispy Kreme opens, aggregate donut sales increase. Additionally, casual diners and quick-service restaurants have begun offering premium coffee. Customer resistance to tracking purchases. Food price inflation causes ingredient costs to rise. Late entry into the international market leads to higher costs for promotionDunkin' Donuts has gone global, in addition to millions of local quick-service restaurants internationallyDirect promotion may conflict with donut buyer cultureCultural and customs differences may represent an obstacle for the foreign buyer in purchasing donuts