Kudler Fine Foods Case Study

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Kudler Fine Foods Case Study

Strategy

Kudler Fine Foods is a local gourmet food store company in the San Diego metropolitan area. The company is founded a few years ago by President Kathy Kudler and has three stores located in La Jolla, Del Mar and Encinitas. Kathy Kudler's vision is "to create one store that would stock a wide selection of the freshest ingredients as well as all of the tools a gourmet cook could ever want" (Kudler, n.d.).

Kudler would like to expand the services, to improve the efficiency of the operations and increase customer's purchase cycle in the next year. In order to obtain these objectives Kudler will have insight in how the changes in technology have created business opportunities and are interested in the identifying of the generic strategy and tactics. The management would also like to know how they can continuously scan the fine foods grocer industry for ideas and updating the company strategy. The answers of these questions are described in this paper.

Changes in technology

The key question in this section is how the changes in technology have created business opportunities for Kudler. There are many changes of technology. This is a broad spectrum. There are changes from the suppliers, the internal organization and from the customer's perspective. Examples are the information technology like the internet, Enterprise Resource software Systems, innovation in production and information technology. Research learns that "today's information systems ... generate new challenges in organizing, analyzing and protecting information" (Gomez-Mejia & Balkin, 2002, p. 386). Information is important for Kudler because this is useful for the decision making and supply chain process. Table 1 gives an overview of some general changes by technology. Table 2 gives an overview of business opportunities from best practice. From technical perspective Kudler have the possibility to start with online business in the business-to-consumer and business-to-business market. An opportunity is to start with an online shop for consumers and companies, with cooking recipes and online instruction video's and the marketing activities. Partnership and alliances can create additional products and services for the stores and the online business. Strategic co-marketing with another food store is also a change. A merchant partner programme is also an interesting opportunity to grow. Excellent hard and software can streamline the processes in the company and contribute to costs reduction.

Generic strategy and tactics

For a good understanding of the strategy it is important to know the mission of the company.

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