Kudler Fine Foods Problem Statement

Kudler Fine Foods Problem Statement
Management 521
November 29 2010

Kudler Fine Foods (KFF) is a premier gourmet grocery store with obligations to its customers and employees to remain a front-liner in the field and to provide quality produce and wine. KFF boasts a broad variety of organic produce, obtained from local as well as national producers, and a large selection of imported and locally produced wines and spirits. The variety of inventory is unlike any other grocer in the area.   KFF puts customer service on the forefront and strives to provide an environment with friendly and helpful staff.   This customer oriented approach has been the reason behind customer loyalty that brings repeat visits every 8 to 10 days.
The sales of La Jolla location have been favorable which provides a need and opportunity to open a new location (Kudler Fine Foods Strategic Plan, 2003). Development of a small business presents new issues to a business owner. Along with a growing business, the number of issues that need dealing with also grows: The larger a company, the more issues it will be presented with. It is impractical for Kathy to continue on with all of the administrative duties if she is to take her business and her vision to the next level.   With the size of the business also comes increased competition, a point that KFF is not fully realizing.   KFF’s first attempt at expansion was not as successful as it was predicted to be. The Del Mar location did not do well as expected, in part because there was limited potential customer population in nearby areas. With the opening of the new Carlsbad location, the failing Del Mar store will then be merged with it (Kudler Fine Foods Strategic Plan, 2003).

Issue and Opportunity Identification
The KFF, La Jolla location has established itself, and the customer base is growing steadily.   The business model that Kathy has envisioned has earned a strong reputation, and the next logical step was to expand the business.   After...