Kudler Fine Foods Problem Statement University of Phoenix MGT/251 Dr. Patrick E. Murray Kudler Fine Foods has the unique opportunity to dominate the organic fine foods market in California. While business is currently good at Kudler there are many weaknesses the company needs to address in order to remain profitable on a grand scale. Currently the weaknesses Kudler is experiencing are problems with perishable goods, high payroll; management has too many responsibilities, sales at Del Mar location, and geographic expansion limitations. There is no way to completely resolve the issues with perishable foods. Being a fine foods store that specializes in foods that do not use any type of preservatives there will always be a problem with waste.
| Problem Mr. Cosmo Panetta owner of Cosmos restaurant Ltd a company known for the cosmobob must make a decision on whether or not to expand his business. His options include opening another restaurant location, opening a production facility to produce cosmobobs on a large scale or to do both. Issues 1) Only 25 000 is available for expansion before having to obtain a bank loan. 2) With grocery stores beginning to supply fast and easy to make frozen items, it is a concern if this will dip into the fast food market. 3) Cosmo Panetta being 74 years old, will soon be at the point of retirement, yet he is still looking to expand his business.
Grocery stores are in competition with smaller markets like Kudlers and Whole Foods. If the brand name grocery stores like Ralphs and Vons did not offer organic and specialty items, the market structure of Kudler Fine Foods would differ. This market structure positively affected Kudler because there was no barrier to entrance within the quality foods market. What negatively affects the company with this market structure is that they are compared to big companies who are able to supply some of these rare items at a more competitive price. One of the marketing strategies that ensure the company of long-term profitability is the personal relationship built with the customer base.
Jones purchase the stock of Smithon outright leaving Smithon intact? The stock should not be purchase by Mr. Jones. Mr. Jones acquiring the assets, liabilities and also would inherit the contractual obligations of the selling corporation, would, be the results of the purchase. In lay terms, he has bought the existing Smithon Corporation and he is responsible of ensuring daily operations run efficiently but the tax aspect of acquisition he is responsible for existing and any future tax liabilities that the selling corporation had. It would be my advice for Mr. Jones to not buy the stock because of the liability of current and future tax obligations which Mr. Jones would incur from the purchase of the stock.
Kathy would like to build the company up to a point so that in the next few years she’s able to retire (Kudler strategic plan, 2003). The employees want to be able to earn a good salary and have job security by working for a profitable and growing company. The customers want a large selection of high quality products at reasonable prices. The company’s suppliers have the similar interests as the employees – steady orders from a profitable and growing company able to pay its bills in a timely manner. Problem Statement Kudler Fine Foods can become the premier gourmet food store in its marketplace by developing effective leadership that enables the company to be
Kudler Fine Foods Retrieved from: https://ecampus.phoenix.edu/secure/aapd/cist/vop/Business/Kudler2/intranet/index.asp WebFinance (2012). Commercial Off The Shelf Software Retrieved from: http://www.businessdictionary.com/definition/commercial-off-the-shelf-COTS-software.html Evans, Keith (2012). The Use of Handheld Computers in the Workplace Retrieved from:
Kudler Fine Foods Business Proposal December 15, 2008 Ashley Williams Kudler Fine Foods Career Development Plan From the beginning, Kudler Fine Food’s main goal has been to combine the convenience of one stop shopping with reasonable prices for customers. Although, Kathy and Kudler Fine Foods has been successful at achieving this goal, my team and I would like to take it a step further and help this company become even more successful than before. With the range of departments in the one-stop shopping center including baked goods, meat and seafood, produce, cheese and dairy, and wine, we feel the only thing missing is the morning perks……coffee! With a broad range of coffee, cappuccino’s, and latte’s,
Currently, Kudler Fine Foods is growing, and they have developed a good niche in the specialized gourmet grocery industry. Another strength of the company is the vision and mission statement is being implemented successfully, and they follow the differentiated strategy closely. The company also offers a wide selection of the finest products from all over the world. A weakness for Kudler Fine Foods is that they have not been in the industry for a long period, and no continuity because of the short period of time in the industry, so this is why the company needs to continue to scan the industry for best practices. Kudler Fine Foods also have various opportunities.
The firm needs more attention to a solid marketing effort including a website design and website launch and it needs to find alternate means of financing beyond its current sources. In 2003 and 2004, more than 52% and 60% of the customers felt that they paid more for the merchandise that the merchandise was worth. Kudler Fine Foods will employee a generic strategy of focus. Kudler Fine Foods will serve their niche market that is the gourmet chef and people that appreciate and are willing to pay for high quality, specialty, organic and locally grown foods. “A firm pursuing a focus strategy is willing to service isolated geographic areas; to satisfy the needs of customers with special financing, inventory, or servicing problems; or to tailor the product to the somewhat unique demands of the small- to medium-sized customer” (Pearce and Robinson, 2009, p.205).
A monopolistic Competition market has many sellers and provides good substitutes but differentiates their products from other companies. The nature of competition in a monopolistic market focuses on marketing, special features and pricing (Colander, 2010). Kudler Fine Foods has only a few competitors in the market that offers the same products and service to its customers. This market structure has negative and positive effects. A positive effect of Kudler Fine Foods in a monopolistic market structure is that they lead in the market and can increase competition between companies and make massive profits by setting higher prices (Colander, 2010).