For Kudler Fine Foods to fall into this category means that they sell differentiating products from their competitors. They do this by offering their customers a wide variety of goods, an example would be that they offer over 250 kinds of cheese from 21 different countries, not all grocery stores offer that many kinds of cheese. One positive effect of being in a monopolistic competitive market structure is that there is no barrier for entry and that it is easy enter and leave the market at any time. One negative effect that monopolistic competitive markets face is that some differentiating does not create utility but usually generates waste (Economics Online). In a monopolistic competitive market profit is important.
If we were to only have local products available to us today, we would have plenty of dairy, but shortages of most everything else. In fact, Vermont produces less than it consumes in every food category other than dairy. Vermonters eat far greater amounts of meat, poultry, eggs, grains, beans, fruits and vegetables than is produced locally. When the lack of diversity is compared to our diets, food grown locally in Vermont has the potential to feed only 38% of the population. That is to say, that if all food produced in Vermont were to stay in Vermont, there may be enough food to feed all Vermonters in terms of calories, but the lack of diversity makes it impossible to survive on these foods.
A huge advantage that Trader Joe’s does is that they are a smaller store and limit the number of different products they carry. This makes Trader Joe’s able to sell their products at lower cost compared to their competitors. They also sell more because from the reading, it said that they sell more per square foot. A fall back on Trader Joe’s is their communication compared to other stores. I was reading an article on Food Babe, which brought up the question on if everything from Trader Joe’s is free of GMOs.
There is a need for expansion; however, there is also a need to meet the requirements put in place about locally grown and produced products as well as high wages for workers. There is also a lack of ability to make “SMART” business growth decisions by the owner. Analysis Current Situation Monforte Dairy (Monforte) is a specialized cheese company currently being run by Ruth Klahsen whose background is in the culinary industry. Her business background comes from this foundation and has thus set up Monforte in a similar fashion. She has grown to have a loyal customer base as her cheeses are agriculturally sustainable, use locally produced products and uses healthy methods of producing her cheeses that does not harm the environment.
There is currently one major competitor in the specialty foods business is the chain Whole Foods. The foot print of Whole Foods is so large and has a larger market share than Kudler, they would be able to cut into Kudler’s competitive advantage of being the only specialty food store within their operating locations. There are more super chains such as Wal-Mart are starting to carry organic foods at their notoriously low prices. Wal-Mart is not only starting to offer organic items, but they are saving money by doing it. “By distributing locally, [Wal-Mart] said it saved 112,000 gallons of diesel and total freight expense of more than $1.4 million” (Hoffman, 2008, p. 1).
Outline the argument that supermarket power is a ‘zero-sum game’ It is argued that supermarket power dominates the grocery industry and limits consumer choice. The big four supermarkets, Tesco, Asda, Sainsbury and Morrisons, with over 9,190 stores nationwide, entice the public to spend almost three out of every four pounds spent groceries in their stores. This essay will outline the argument that supermarket power is a zero sum game, a situation were one participant's gains result from another participant's equivalent losses (Wrong cited in Allen, 2009, p.70) This argument will show how consumers, the high street, suppliers and their workforces are the lossers. Supermarkets assert that their market power results in a positive-sum game, a situation where all groups participating benefit to some degree, supermarkets claim they provides choice to consumers, and are not a threat to the high street. They also claim to benefit local communities by encouraging retail revatilisation in previously run down areas thus creating new jobs.
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.
WIC is significantly different than other hunger alleviation programs because it targets children. Many professional opinions against the WIC program allude to the fact that it is like any food program that people take advantage of and should be discontinued. However, the items able to be purchased are very limited, which allows for proper use of the program and its benefits, which many supporters point out. As of 2011, WIC has been running a budget surplus, due in large part to a decline in the price of milk- milk costs represent 20% of the WIC food cost
The main reason it is here is because they want us to buy, buy, buy and for them to sell, sell, sell 8) A balanced diet is very important, without one you might not get all the nutrients you need and there for have a shorter life span. An example of an unhealthy diet is, mountain dew, cookies, cake, candy, milk, frosted flakes. While the milk is good for you, there really is only the dairy section of the food pyramid in there. A good balanced diet is steak, beans, broccoli, milk, bread, pasta, tomato sauce, and even an apple. Here you have protein, carbs, fats, dairy, vegetables, and fruits, now just include some water and you have the perfect meal.
Vending machines can also be implemented with other things other than just chips, cookies and other junk foods like that. There are vending machines that are refrigerated so these schools can also put in things like bags of carrots or a bag of sliced apples. As Grainger, Corbett, Senauer, and Runge stated, “Simply offering nutritious foods does not necessarily improve students’ diets, if the foods are not appealing. Students will avoid these choices or leave them uneaten. There are certainly outlined strategies to increase the appeal of school lunches and breakfasts, suggesting that schools expand the offerings available, allow student input in food service decisions, improve the