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Kudler Fine Foods (Introduction)
Kudler Fine Foods, a specialty foods store has three locations in Northern San Diego, CA. This specialty food store is dedicated to bringing gourmet foods/ products to a clientele interested in gourmet style cooking (University of Phoenix, 2007). In attempt to tap into an additional niche market, Kudler Fine Foods is partnering with local organic farmers (similar concept to Henry’s Grocery Store owned by local organic farmers) to reach a clientele with interest in fresh organic produce/ healthy living by providing fresh organic produce in Kudler Fine Foods store locations. Although Kudler Fine Foods has a great idea to reach a new niche market, the pros and cons of this strategy must be considered. In effort to look at the pros and cons of Kudler Fine Foods new business idea/ plan, Kudler Fine Food’s business processes, supply chain activities, and quality control systems will be discussed in the following paragraphs.
Business Processes
Kudler Fine Food’s decision to partner with local organic farmers may impact their business process of purchasing and inventory management. Currently Kudler Fine Foods’ inventory purchase is divided among their three store locations in which managers at each store are responsible for their store’s purchasing, specifically making their own decisions regarding how often and whom they purchase their supplies/ inventory from. Kudler Fine Foods’ current business idea to partner with local organic farmers seems to not coincide with their standard purchasing procedures in place. Kudler Fine Foods does not have a purchasing department. In order to make their new idea to work, Kudler Fine Foods’ purchasing procedures should be consolidated into a single department that does all the purchasing for efficiency and cost savings. Although Kudler Fine Foods may need to consider developing a dedicated team/ department to this area which would initially cost money, in the long run it...