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Kudler Fine Foods Strategy Essay

1694 words - 7 pages

Kudler Fine Foods – Strategy

“Strategic competitiveness can be attained only when the firm’s selected structure is congruent with its formulated strategy” (Gomez-Mejia. 2002). Kudler has positioned itself to make use of its existing information technology structure, marketing scheme and sales objectives to create a well-known atypical grocer business in their slot market by leveraging the increased changes in the marketplace and shifting customer tastes, preferences and increase demands. With rising customer requests for gourmet and healthy grocery offerings, specialty grocery stores like Kudler, are facing more opposition from bigger grocery store chains and e-commerce driven online ...view middle of the document...

“Information technology has helped to computerize the business process thus streamlining businesses to make them extremely cost effective money making machines. This in turn increases productivity which ultimately gives rise to profits that means better pay and less strenuous working conditions”(Small business Bible. 2010).

The increase use of technology has altered numerous segments in the marketplace. For example, some countries possess the technology to now purchase soda drinks from a vending machine via mobile phone. Major express couriers have a traceable websites that allow end-users to trace and schedule package deliveries via the Internet. The internal and external process enhancements through technology are abundant. The subsequent sections will categorize transformations in technology that have produced business prospects for Kudler fine foods in the following area: networking, operations management, advertising and HR.
Prior to advancemans in technology employee files, customer information and sensitive documents were stored in a central, secure location. With technology shared databases and the introduction of the information highways, Kudler is capable of sharing information with their satellite stores, Kudler currently uses Quick Book software to share employee sensitive information and documents. With advancements in technology Kudler can now forecast scheduling and budget information throughout it satellite offices. Prior to the knowledge information age organizations used convention advertisements strategies such as idle talk, radio and television to endorse its service and products. The Internet has also afforded Kudler the opportunity to promote its products and services to a broader audience and new customer market.

Advances in technology have also altered traditional back-end inventory processes. The three Kudler stores point of sales network is interfaced with the inventory network. The connection allows Kudler to track orders and products without physical handling of inventory or material quality assurance. This technology also allocates Kudlers inventory decision-making process between all stores. Subsequently, Kudler could link-up its system with its suppliers and automatically place orders through low stock notices that automatically send suppliers order fulfillment without a physical purchase order.

Organizations employ strategy to adjust to internal and external environmental dynamics. Kudler strategy is a concentric diversification strategy where it is looking to create new business relative to its core to enter new markets. Kudler’s core is business is grocery retail. Kudler has generated new add-on-business like catering services and cooking sessions. The strategy is beneficial to Kudler because it permits them to control other business at low cost with high margin returns. Cost reductions and revenue increases are Kudler’s goals. Kudler has multiple alternatives in deciding its business...

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