NEED ANSWER FOR THE 3 DISCUSSION QUESTION. SHORT ANSWER ACCEPTED. TY
Hard Rock brings the concept of the "experience economy" to better than the competition, but to develop and play an altogether its cafe operation. The strategy incorporates a unique "experi- different game."* At Hard Rock, the different game is the experience" into its operations. This innovation is somewhat akin to ence game. mass customization in manufacturing. At Hard Rock, the experi- From the opening of its first cafe in London in 1971, during ence concept is to provide not only a custom meal from the menu the British rock music explosion, Hard Rock has been serving but a dining event that includes a unique visual and sound experi- food and rock music with equal enthusiasm. Hard Rock Cafe has ence not duplicated anywhere else in the world. This strategy is 40 U.S. locations, about a dozen in Europe, and the remainder succeeding. Other theme restaurants have come and gone while Hard Rock continues to grow. As Professor C. Markides of the *Constantinos Markides, "Strategic Innovation," MIT Sloan ManageLondon Business School says, "The trick is not to play the game ment Review 38, no. 3: 9 . scatteredthroughouttheworld,fromBangkokandBeijingtoBeirut.Newconstruction,leases,andinvestmentinremodelingarelongterm;soaglobalstrategymeansspecialconsiderationofpoliticalrisk,currencyrisk,andsocialnormsinacontextofabrandfit.AlthoughHardRockisoneofthemostrecognizedbrandsintheworld,thisdoesnotmeanitscafeisanaturaleve-rywhere.Specialconsiderationmustbegiventothesupplychainfortherestaurantanditsaccompanyingretailstore.About48%ofatypicalcafessalesarefrommerchandise.TheHardRockCafebusinessmodeliswelldefined,butbecauseofvariousriskfactorsanddifferencesinbusinessprac-ticesandemploymentlaw,HardRockelectstofranchiseabouthalfofitscafes.Socialnormsandpreferencesoftensuggestsometweakingofmenusforlocaltaste.Forinstance,HardRockfocuseslessonhamburgersandbeefandmoreonfishandlobsterinitsBritishcafes.DiscussionQuestions*1.IdentifythestrategychangesthathavetakenplaceatHardRockCafesinceitsfoundingin1971.2.AsHardRockCafehaschangeditsstrategy,howhasitsresponsestosomeofthe10decisionsofOMchanged?3.WheredoesHardRockfitinthefourinternationaloperationsfromoneLondoncafeto145facilitiesin60countries,ithasmadeHardRocksusceptibletoeconomicfluctuationsthathitthetour-istbusinesshardest.SoHardRockissigningalong-termleaseforanewlocationinNottingham,England,tojoinrecentlyopenedcafesinManchesterandBirmingham-citiesthatarenotstandardtouristdestinations.Atthesametime,menusarebeingupgraded.Hopefully,repeatbusinessfromlocalsinthesecitieswillsmoothdemandandmakeHardRocklessdependentontourists. Hard Rock brings the concept of the "experience economy" to better than the competition, but to develop and play an altogether its cafe operation. The strategy incorporates a unique "experi- different game."* At Hard Rock, the different game is the experience" into its operations. This innovation is somewhat akin to ence game. mass customization in manufacturing. At Hard Rock, the experi- From the opening of its first cafe in London in 1971, during ence concept is to provide not only a custom meal from the menu the British rock music explosion, Hard Rock has been serving but a dining event that includes a unique visual and sound experi- food and rock music with equal enthusiasm. Hard Rock Cafe has ence not duplicated anywhere else in the world. This strategy is 40 U.S. locations, about a dozen in Europe, and the remainder succeeding. Other theme restaurants have come and gone while Hard Rock continues to grow. As Professor C. Markides of the *Constantinos Markides, "Strategic Innovation," MIT Sloan ManageLondon Business School says, "The trick is not to play the game ment Review 38, no. 3: 9 . scatteredthroughouttheworld,fromBangkokandBeijingtoBeirut.Newconstruction,leases,andinvestmentinremodelingarelongterm;soaglobalstrategymeansspecialconsiderationofpoliticalrisk,currencyrisk,andsocialnormsinacontextofabrandfit.AlthoughHardRockisoneofthemostrecognizedbrandsintheworld,thisdoesnotmeanitscafeisanaturaleve-rywhere.Specialconsiderationmustbegiventothesupplychainfortherestaurantanditsaccompanyingretailstore.About48%ofatypicalcafessalesarefrommerchandise.TheHardRockCafebusinessmodeliswelldefined,butbecauseofvariousriskfactorsanddifferencesinbusinessprac-ticesandemploymentlaw,HardRockelectstofranchiseabouthalfofitscafes.Socialnormsandpreferencesoftensuggestsometweakingofmenusforlocaltaste.Forinstance,HardRockfocuseslessonhamburgersandbeefandmoreonfishandlobsterinitsBritishcafes.DiscussionQuestions*1.IdentifythestrategychangesthathavetakenplaceatHardRockCafesinceitsfoundingin1971.2.AsHardRockCafehaschangeditsstrategy,howhasitsresponsestosomeofthe10decisionsofOMchanged?3.WheredoesHardRockfitinthefourinternationaloperationsfromoneLondoncafeto145facilitiesin60countries,ithasmadeHardRocksusceptibletoeconomicfluctuationsthathitthetour-istbusinesshardest.SoHardRockissigningalong-termleaseforanewlocationinNottingham,England,tojoinrecentlyopenedcafesinManchesterandBirmingham-citiesthatarenotstandardtouristdestinations.Atthesametime,menusarebeingupgraded.Hopefully,repeatbusinessfromlocalsinthesecitieswillsmoothdemandandmakeHardRocklessdependentontourists.
