Mkt 421 Week 4 Case Analysis Paper

410 Words2 Pages
How are each of the 3 classifications of competitors doing in Sonoma County? a. Traditional Super Markets b. Low-Cost Operators c. Differentiated Sellers • Traditional supermarkets struggled to protect their market share ageist discount supercenters. • Non-traditional retail stores increased their share of consumers food-at-home from 1 7.7% to 30.8 in 2003. • According to the USDA traditional retailers market share declined from 82.3% to 69.2%. • Wal-Mart was both a driver and a beneficiary of this change, as its share of U.S supermarket sales reached 15.2% by 2003. • In 2004, Wal-Mart opened its first California supercenter. • By 2007, the number of Wal-Mart supercenters nationwide were forecasted to reach 2000, translating to 35% share of food store industry. •…show more content…
• Location of stores. • How close the store is to its customer base. • How close competitor stores are positioned. • Cost advantage over competitors, a non-unionized labor force could represent a cost advantage. • Implementing information technology in order to increase efficiency in operations and marketing aids. • Point-of-sale systems that helps increase inventory turnover and sales and lead to better targeted customer marketing. • Brand identity. • The use of informational complexity to promote and educate consumers regarding their products. Q4 What are the key elements of Oliver’s strategy? • Oliver’s pricing strategy by setting prices below market leader, Safeway, to try to communicate value and quality. • Having a successful promotional and discount program is critical. • Providing customer services that makes sure customers will find what they want in their stores. • Carrying the largest possible selection of natural, conventional and gourmet products. • Treating each department as an independent business unit. • Being a non-union operator gave Oliver’s flexibility in pay

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