Joe's Grocery Case Study

788 words - 4 pages

Denise Taylor
Acct. 442-101
September 8, 2013

Joe’s Grocery Case Study

Strengths | Weaknesses | Opportunities | Threats |
Unique Product | Large Variety | Growing Demand for Organic Foods | Rising Manpower Costs |
Customer Loyalty | Lack of Advertising | Expanding into New States/Locations | Competitors – eg. Whole Foods, Wegmans |
New Store Openings | Waste Due to Overstocking | Development of Customer Loyalty Program | Increasing Product Costs |
Store Locations | Distribution of Products | Creation of Brand Recognition through Advertisement | |
| | | |

Strengths: Joe’s Grocery have stores in the Richmond, Virginia and the Washington D.C. area that specialize in ...view middle of the document...

If a warehouse is the choice the company will then need to determine the best option for distribution of the product to the stores.
Opportunities: There is a growing demand for organic foods providing an opportunity to pull customers into Joe’s grocery. Increasing advertisement for Joe’s grocery focusing on organic foods and specialty products will help increase the customer base and develop brand recognition. As new and existing customers begin to come in, it is important to have a customer loyalty program which will benefit the repeat shoppers. There are numerous programs that exist which can be adopted or a unique program can be created. Another opportunity to increase business would be to look at surrounding locations in the high income areas of Maryland to expand in.
Threats: The areas that currently threaten Joe’s grocery profits are rising manpower costs, competitors like Whole Foods and Wegmans, and increasing product costs. It is important to control payroll hours and monitor the hourly wage that new employees are being hired at. To keep up on what competitors are carrying and the prices they are charging, regular competitor shops should be completed. Based on the product lines that Joe’s grocery carries, it is beneficial to manage the business through differentiation through their products and advertising versus cost leadership. In order to keep product costs as low as possible it is important to shop around between vendors to get the best possible prices.

Balanced Scorecard |
Financial Performance | Customer Satisfaction | Internal Processes | Learning and Growth |
Sales Growth |...

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