Kudler Fine Foods: Improvement Strategy

Kudler Fine Foods: Improvement Strategy

Kudler Fine Foods is limited in its ability to expand geographically. Though the owner, Kathy Kudler, is currently considering several other geographic areas for growth opportunities, she is aware that there are challenges in the area of business expansion that Kudler Fine Foods (KFF) must overcome if it is ever going to achieve its potential in the gourmet and specialty foods market.
In the grand scheme, KFF is not in direct competition with traditional supermarkets. It does not implement the same business model or strategy as do billion-dollar corporations. The big-box retailers of common foodstuffs target the average American household by providing a predictable, yet diverse, array of foods, beverages, home goods, and services. However, KFF focuses more on providing a high-end product line for a more discerning segment of customers – who are most interested in the cooking and dining experience & are not price conscious.
While KFF has done a nice job at setting itself apart from competitors and determining who its target customers are, it is failing to realize how it could benefit from borrowing certain traits and concepts from those more traditional supermarkets. The business model trait that KFF could borrow in order to overcome its challenges in the area of expansion is decentralized management. In order to position itself for the type of growth Kathy Kudler has in mind, the organization must identify and develop a task-force of several strong business leaders.
While the need for multiple strategic business partners may not have been present when KFF was a one or two store organization, it has become increasingly evident that the business could benefit by having more than one person to make important decisions and oversee key business functions.   KFF must acknowledge and move on the opportunity to bring in outside management to help run the operation. Not only would this relieve Kathy of some of her duties, but it would add significant value to the...