n 1979, law student in UK, Tim Martin decided he wanted to own a pub. Unlike most students with the same ambition, Martin actually went ahead and bought the pub he usually drank in. From the beginning, Martin decided that Wetherspoon’s was going to be different from the other pubs around. For one thing, Wetherspoon’s has no music. There is no juke box, no live bands, and no piped music anywhere in any Wetherspoon’s pub. Secondly, Wetherspoon’s has a wider range of beers than do most pubs – and it is the beer that makes the profits. Wetherspoon’s operate by keeping the price of the beer relatively low, but offering a quiet atmosphere, no-smoking areas and all-day food. Each pub has its own name, but operates under the overall Wetherspoon brand: the pub name and the company name appear prominently on each of the 640 Wetherspoon pubs in Britain. The company was floated on the London Stock Exchange in 1992, and continues to expand throughout the UK. Each of these pubs have the same philosophy as of the original brand. Maintaining a pleasant, safe atmosphere is central to Wetherspoon’s policies. The company has removed all financial incentives for customers to ‘trade up’ to larger or more alcoholic drinks: for example, most pubs sell a double measure of spirits for less than the cost of two separate singles, but Wetherspoon’s have removed this because they see it as an incentive for customers to buy more alcohol than they otherwise might. Strange behaviour – most companies seek to encourage people to buy more of their product. The company also sells their soft drinks at much lower prices than most other pubs or restaurants. John Hutson, managing director of Wetherspoon’s, says, ‘We believe that a combination of food served all day, reasonably priced soft drinks, an absence of financial incentives to “trade up” to larger quantities of alcohol, combined with good facilities and a heavy emphasis on staff training are the right direction for the pub industry to take. No company which serves alcohol can be immune from bad behaviour from time to time, but these policies should help to reduce its effects and, as a company, we will, continue to consider sensible policies for our business and the community in this complex area.’ The UK is a pub culture, like Ireland: much of Britain’s social life revolves around drinking, and the corner pub is often the cornerstone of the community. What J.D. Wetherspoon has done is recapture the old atmosphere of the pub – a place for conversation, perhaps some food, and a comfortable and safe environment. Explain the product offered by Wetherspoon, pub and restaurant. Determine the levels of product offered at the core, actual, and augmented levels of the product/service associated with this. Determine the level of “no music” in the pub.

n 1979, law student in UK, Tim Martin decided he wanted to own a pub. Unlike most students with the same ambition, Martin actually went ahead and bought the pub he usually drank in. From the beginning, Martin decided that Wetherspoon’s was going to be different from the other pubs around. For one thing, Wetherspoon’s has no music. There is no juke box, no live bands, and no piped music anywhere in any Wetherspoon’s pub. Secondly, Wetherspoon’s has a wider range of beers than do most pubs – and it is the beer that makes the profits. Wetherspoon’s operate by keeping the price of the beer relatively low, but offering a quiet atmosphere, no-smoking areas and all-day food. Each pub has its own name, but operates under the overall Wetherspoon brand: the pub name and the company name appear prominently on each of the 640 Wetherspoon pubs in Britain. The company was floated on the London Stock Exchange in 1992, and continues to expand throughout the UK. Each of these pubs have the same philosophy as of the original brand. Maintaining a pleasant, safe atmosphere is central to Wetherspoon’s policies. The company has removed all financial incentives for customers to ‘trade up’ to larger or more alcoholic drinks: for example, most pubs sell a double measure of spirits for less than the cost of two separate singles, but Wetherspoon’s have removed this because they see it as an incentive for customers to buy more alcohol than they otherwise might. Strange behaviour – most companies seek to encourage people to buy more of their product. The company also sells their soft drinks at much lower prices than most other pubs or restaurants. John Hutson, managing director of Wetherspoon’s, says, ‘We believe that a combination of food served all day, reasonably priced soft drinks, an absence of financial incentives to “trade up” to larger quantities of alcohol, combined with good facilities and a heavy emphasis on staff training are the right direction for the pub industry to take. No company which serves alcohol can be immune from bad behaviour from time to time, but these policies should help to reduce its effects and, as a company, we will, continue to consider sensible policies for our business and the community in this complex area.’ The UK is a pub culture, like Ireland: much of Britain’s social life revolves around drinking, and the corner pub is often the cornerstone of the community. What J.D. Wetherspoon has done is recapture the old atmosphere of the pub – a place for conversation, perhaps some food, and a comfortable and safe environment. Explain the product offered by Wetherspoon, pub and restaurant. Determine the levels of product offered at the core, actual, and augmented levels of the product/service associated with this. Determine the level of “no music” in the pub.

Understanding Business

12th Edition

ISBN:9781259929434

Author:William Nickels

Publisher:William Nickels

Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment

Section: Chapter Questions

Problem 1CE

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In 1979, law student in UK, Tim Martin decided he wanted to own a pub. Unlike most students with the same ambition, Martin actually went ahead and bought the pub he usually drank in. From the beginning, Martin decided that Wetherspoon’s was going to be different from the other pubs around. For one thing, Wetherspoon’s has no music. There is no juke box, no live bands, and no piped music anywhere in any Wetherspoon’s pub. Secondly, Wetherspoon’s has a wider range of beers than do most pubs – and it is the beer that makes the profits. Wetherspoon’s operate by keeping the price of the beer relatively low, but offering a quiet atmosphere, no-smoking areas and all-day food. Each pub has its own name, but operates under the overall Wetherspoon brand: the pub name and the company name appear prominently on each of the 640 Wetherspoon pubs in Britain. The company was floated on the London Stock Exchange in 1992, and continues to expand throughout the UK. Each of these pubs have the same philosophy as of the original brand. Maintaining a pleasant, safe atmosphere is central to Wetherspoon’s policies. The company has removed all financial incentives for customers to ‘trade up’ to larger or more alcoholic drinks: for example, most pubs sell a double measure of spirits for less than the cost of two separate singles, but Wetherspoon’s have removed this because they see it as an incentive for customers to buy more alcohol than they otherwise might. Strange behaviour – most companies seek to encourage people to buy more of their product. The company also sells their soft drinks at much lower prices than most other pubs or restaurants. John Hutson, managing director of Wetherspoon’s, says, ‘We believe that a combination of food served all day, reasonably priced soft drinks, an absence of financial incentives to “trade up” to larger quantities of alcohol, combined with good facilities and a heavy emphasis on staff training are the right direction for the pub industry to take. No company which serves alcohol can be immune from bad behaviour from time to time, but these policies should help to reduce its effects and, as a company, we will, continue to consider sensible policies for our business and the community in this complex area.’ The UK is a pub culture, like Ireland: much of Britain’s social life revolves around drinking, and the corner pub is often the cornerstone of the community. What J.D. Wetherspoon has done is recapture the old atmosphere of the pub – a place for conversation, perhaps some food, and a comfortable and safe environment. Explain the product offered by Wetherspoon, pub and restaurant. Determine the levels of product offered at the core, actual, and augmented levels of the product/service associated with this. Determine the level of “no music” in the pub.

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