Idle strategic insight into Subway’s business model
February 19th, 2004
I used to wonder why subway seems to be doing so well with competitors like Wendy’s and McDonalds, but then I really thought about it- Subway, really, doesn’t have any competitors. The company is in the low-cal fast food market, bordering on health food. Yes, other burger joints are trying to muscle in on that territory, but when you think McDonalds, the first thing that comes to mind is ‘Burger’. Subway has managed to position itself as equivalent to ‘healthy’, even though some of their sandwiches really aren’t.
Given that,… Subway really has absolutely no competition, and is dominating a market that is, quite frankly, ready for some variety. Anyone with a good business plan and an interesting idea could start chipping away at their empire. Though… how do you make health food fast, tasty, cheap, and appealing to the average American?

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