Review the article: Is your own buying behavior influenced by coupons and sales? Why do you think J.C. Penney’s pricing strategy has not been successful as compared to other “low price” proponents like Walmart? Will Ron Johnson’s four-year plan be successful over the long-term? Why or why not? BUS 620 Week 4 DQ 1 Purchase here http://chosecourses.com/BUS%20620%20/bus-620-week-4-dq-1 Description This paperwork of BUS 620 Week 4 DQ 1 shows the solution to the following point: The Role of Pricing Mohammed, R. (2012).
I feel like Wal-Mart is strong financially. They have continually offered lower prices than their competitors in the discount store industry, and I believe they will continue to do so (“Stock Research Reports - 2011 Stock Ratings - TheStreet Ratings”). Mass merchandising is a form of retailing in which a store sells large quantities of staples at very low prices and has very
Kudler Fine Foods Frequent Shopper Program Concerns Kudler Fine Foods wants to implement a frequent shopping program to monitor the shopping habits of its customers, and increase customer satisfaction with a projected revenue increase of 4.75% over the first year. As Kudler Fine Foods is a high end grocer, the goal of the frequent shopping program will not be centered around cost savings, but as a point system offering exclusive awards similar to credit card point systems. Kudler Fine Foods can increase customer satisfaction by tailoring their inventories around customer’s shopping habits, but some concerns need to be addressed concerning the tracking of individual customer purchases. The management needs to understand how the frequent shopper
This is the strategy successfully followed by Midamar Corporation (distributor of halal foods), Morgan Motor Car Company (a manufacturer of classic British sports cars), Nickelodeon (a cable channel for children), Orphagenix (pharmaceuticals), and local ethnic grocery stores. In using differentiation focus, a company or business unit seeks differentiation in a targeted market segment. This strategy is valued by those who believe that a company or a unit that focuses its efforts is better able to serve the special needs of a narrow strategic target more effectively than can its competition. For example, Orphagenix is a small biotech pharmaceutical company that avoids head-to-head competition with big companies like AstraZenica and Merck by developing “orphan” drugs to target diseases that affect fewer than 200,000 people—diseases such as sickle cell anemia and spinal muscular atrophy that big drug makers are overlooking.16 Cost focus is a low-cost competitive strategy that focuses on a particular buyer group or geographic market and attempts to serve only this niche, to the exclusion of others. In using cost focus, the company or business unit seeks a cost advantage in its target segment.
In order for Kudler Fine Foods to develop a functioning frequent shopper program, it must track and monitor consumers shopping behavior. The drive of market research is to collect data on consumers and prospective consumers. The collected statistics support business decision making, which therefore diminishes the risks involved in making these conclusions. This type of research would also benefit the consumer by lowering the cost on items bought most, while giving them personalized incentives to return. As a result, legal matters concerning privacy of the consumer has risen and established far more attention.
Compared to Macy’s who keep an item in inventory for 119 days, Nordstrom keeps its items in inventory for 62 days. Other than relying on day-to-day sales, Nordstrom only discounts certain items and plans for more profitable and productive sale prices. Nordstrom benchmarks to assess the success of their web-based inventor system by discovering what other organizations are doing to succeed and incorporate those ideas into their own operations. Competition for Nordstrom will be intense against Banana Republic, Macy's, and Nike; big shoe selling companies but if they take certain qualities from each one and intertwine them with their own, their web-based inventory will be a great success. Participatory planning includes the people who will be affected by plans and who will be asked to implement them.
Kudler Fine Foods Virtual Organization Kudler Fine Foods (KFF) is an established business that survived the initial period successfully and grown by adding two additional stores. Because of owner’s prudent management the business presence in the market is solid, although other competitors represent a threat. Additionally the threat of handling perishable goods is also present, but competitors have the same issue plus KFF can compete with reasonable prices to make it attractive to customers (Kudler Fine Foods, 2012, p. 10). KFF needs to initiate marketing research analysis to pinpoint the areas of opportunity and improvement. In this analysis a secret shopper should be part of the research to visit stores around the three KFF establishments
In order for small businesses to really gain an edge they have to diversify their products and exploit local suppliers, cash in on the advantage of a better enhanced customer experience, and with interaction within the nearby communities. Works Cited 1.Flandez, Raymund. "What You Can Do to Fight Wal-Mart." The Wall Street Journal (2009): N. pag. Web.
A number of approaches were considered to help Lowe’s lower expenses and increase profits. One approach was to grow Lowe’s brand recognition through new advertising approaches, such as social media, which will get the most out of the strengths. To overcome some key flaws, Lowe’s has a duty to provide cross training to all employees in all sections and jobs of the store prior to working alone. In addition, the execution of a quality assurance program to standardize the Total Quality Management (TQM) of products would help Lowe’s address various weaknesses and threats. Some of Lowe’s strengths include having the second largest market share in the industry, their creative ideas classes and videos, and their corporate social responsibility.
Foreign market shares are something else that can benefit Walgreens in the long run because global expansion can yield for a better competitive edge in the long run also given that the nature of Walgreens according to the Space Matrix is that they are aggressive a hard push into other countries would be an ideal situation. Another way for the company to be more competitive is to incorporate a better employee hiring structure and pay scale to encourage the limited number of Pharmacists to want to join and be a part of the company this would then increase the competition to hire new pharmacists because the working conditions would be better at Walgreens and