Strategy
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Strategy: Kudler Fine Foods
Changes in technology have created business opportunities for Kudler by using IT as a part of a strategic system. Kudler’s use of Retail Management System application has assisted in the maintenance of accounting and financial aspects of the business. Kudler is creating a system to integrate tracking customer’s purchase behavior over time to that will help the company create customer intimacy, thereby; ultimately faster response to customer needs. IT has also provided opportunities in the development of Kudler’s website, which provides information regarding the company, available products, store location, hours of operation and events. The website continuously provides a means of communicating new goods and services to customers. Another important business opportunity gained by Kudler with the use of IT is the competitive advantage gained by improved decision making, enhanced understanding of customer needs, monitoring of their competition and forces in the industry.
For Kudler to maintain their competitive edge the development of strategies in response to competitive forces in the gourmet industry must be established. Kudler is currently employing several response strategies in response to competitive forces. Kudler’s mission statement is base on the strategy of differentiation. Differentiation by definition is “being unique in the industry, such as providing high quality products at competitive prices” (Turban, Rainer and Potter, 2003). Kathy has monopolized on her ability to provide a gourmet food lover with the freshest ingredients, interesting new products and any other cooking needs customers may have available at Kudler.
Focus strategy is “selecting a narrow-scope segment (niche market) and achieving either a cost leadership or a differentiation strategy in this segment” (Turban, et. al.). Kudler focuses on the gourmet food enthusiast that is more concerned with quality than price. Kathy realizes that her key respondsibility is to offer continually new gourmet products to her customers as they are always in demanding new interesting goods.
Customer Oriented Strategy is another major focus at Kudler. Kudler ensures that staff focuses on customer satisfaction by providing customer’s excellent service and knowledge of products. for a delightful and pleasing shopping outing. Kudler also uses customer service as part of the staff performance evaluation. The frequent customer program was also instituted to recognizing loyal customers by awarding their loyalty with discounts and means of obtain other desired goods. Kudler realizes that the growth they have experienced is because of their customers; therefore, implementing this strategy will maintain customer loyalty and profitability.
Kudler, demonstrated in the addition of local organic produce and the catering service utilization of growth strategy. Kudler also introduced gourmet-cooking classes by gourmet chefs and local celebs. Implementation of this strategy is important on many fronts as it increased customer purchases having more time in the store, increased customer loyalty and provided word of mouth marketing all adding to