Regional differences

In 1978, the company had adopted a highly focused strategy of growing in markets. Region- I (eastern United state and Canada) and Region (Western United states ) II

Between 1983 and 1987, 74% of the new shops opened in region-I , Dunkins donuts had shops in only 168 of the 334 U.S Standard metropolitan statistical areas. In 1987, Dunkins Donuts open 1100 shops concentrated in 96 of the 156 SMSAs of region-I and region -II there were 378 shops in 71 of the 178 different SMSAs .

 The company highly focused development strategy had increased the concentration of shops in a relatively small number of markets. In 1988 region I , overall sale in those market were increase and the region contained many of the most profitable store .franchises were getting increasingly angry with the company for approving sites. By contrast in region ii there was relatively little franchisee expansion activity,

 Average store sales were significantly lower in region-II then the region-I. There were more than twice as many shops in region ii on rent relief. Shops in the northeast averaged sale about 235 dozen doughnuts and 1900 cups of coffee a day while elsewhere the shop averaged 260 dozen doughnuts and 850 cup of coffee.

Shop operations
Unlike many fast food franchises, Dunkin Dunuts shops did not just prepare the product they sold, they manufactured it. The franchisees received extensive training at Dunkin Donuts university Most had no previous food service experience, and yet had to manage the retail business as well as the baking business In order to meet company s freshness standard, Dunkin Donut recommended three production shifts 11pm to 6 pm, 7am to 11am, and 12 am to 7pm.

 Frequent banking was vital to maintaining the company reputation for freshness, and the company set shelf-life limits on the sale of various product . eg- five hours for cake doughnuts, 8 hours for yeast doughnuts, and 12 hours for muffins. A dunkin donuts kitchen with the standard configuration provided the product capacity for up to 250 dozen doughnuts per shift. Two third of the baking was done at night because 60% of each day s business was done between 6 AM and 10 AM.