Introduction probability of expanding in the future is


Cold stone creamery is a company in the United States that specializes in ice cream. The company is located in Arizona and owned by Kahala Franchising (Duff, 2006). The major product sold by Cold Stone is ice cream. However, the company has a diverse menu and therefore, they sell other ice cream related products such as yoghurt and ice-cream cakes (Duff, 2006). This article discusses the strengths, weaknesses, opportunities and the threats that face the company.


Cold stone creamery ensures profitability by the location strategy. The company subsidiaries are mainly located in malls, in areas with high population and near movie theaters.

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The idea of strategic location ensures that the company is highly profitable (Cold Stone, 2008). The other strength of the company is in the market target. Compared to some of its competitors, Cold Stone Creamery provides an array of products, which enhance the customer experience. The experience enables the company to attract many customers thus have higher sales.

In addition to this, Cold Stone uses technology to advertise its products. All the press release on the company is available in the company’s website. Therefore, accessing the company is easer due to the arched information. Moreover, the Cold Stone Creamery has an interactive website. Consumers can use this website to create interactive accounts where the consumers can get on different aspects of the company.


The company has some weaknesses that slow down the profit making process. One of the weaknesses is the fact that the company has very high prices. Due to these high prices, some consumers are repelled. Another weakness associated with the company is the specification and service offer (Cold Stone, 2008). Each of the products offered by Cold Stone is made specifically to meet the tastes and preferences of the customer.

This may sometimes lead to longer queues and complaints from customers about the services. Moreover, the company offers products that most consumers consider luxurious. Therefore, the probability of expanding in the future is limited due to the saturation of similar products in the market. Cold Stone is also dependent on franchising (Cold Stone, 2008). However, franchising training takes a long time and may discourage potential investors.


Cold Stone Creamery has various opportunities in the market. The prospect of expanding business in Tampa bay provides an exciting opportunity to the company. This may enable Cold Stone Creamery to increase their market share and maybe their profits. Another opportunity lies in the business on its own accord.

The company has the opportunity of being innovative and increase the number of flavors and the nutritional value of their products (Cold Stone, 2008). The American population considers the nutritional content in products before purchasing them. In addition to this, the company has the opportunity of expanding its market share through opening new stores in different areas of the country.


A number of elements are threatening the company’s survival. Recession affected the United States economy. This led to companies going bankrupt. Moreover, the economy affected Cold Stone creamery and therefore, threatened any further development of the company. Another threat facing the company is that people consider ice cream as an unhealthy food.

Therefore, most of the people avoid ice cream and opt for a more healthy choice of food. This has led to a drop in the overall sales of ice cream. Another threat is in the competition. Cold Stone has a number of competitors who are trying all to claim a portion of the market (Cold Stone, 2008). This represents a threat to the company’s survival.


Duff, M. (2006). Target, Cold Stone Creamery sign in-store deal. Retrieved from

Cold Stone (2008). Marketing Plan. Retrieved from