Problem and End Statement for Kudler Foods

Problem and End Statement for Kudler Foods

  • Submitted By: daypay
  • Date Submitted: 03/16/2009 7:26 PM
  • Category: Business
  • Words: 631
  • Page: 3
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Kudler Fine Food's Problem Statement and End-State Vision
University of Phoenix

Kudler Fine Food's Problem Statement and End-State Vision
Kudler Fine Food’s can successfully make more profits by cutting down on some of the operational costs.
The owner, Kathy, has a vision that Kudler Fine Foods be the “premiere gourmet grocery store for savvy shoppers who are searching for the finest meats, produce, cheeses, and wine”. (Kudler, n.d., p. 3). While this idea made her successful with the opening of her first store, the following two stores she opened have not been as successful as her first. Sales have proven to be rather low, and the profits being made are not as expected. She is finding that most of the profits being made from the success of her top store that continues to grow in La Jolla are being used to operate the two other stores that aren’t doing so well. While her operational cost continue to be the same for all three stores, providing services that make her stores stand out from other stores are becoming to seem rather costly, therefore producing low profits. Kathy’s vision to provide the finest selections in her foods is making her lose money. One example of this is her stock of 16 different varieties of apples. While this might seem like a way of providing the “finest selection”, these goods are perishable items that cannot be maintained fresh at all times. The cost of her experienced and professional staff is also putting a toll on her profits.
The goal of any business is to ultimately make profits. While Kathy is fulfilling her vision of being the best by providing services and goods that no other local grocery store or supermarket has to offer, she is not fulfilling the profits necessary in order to maintain a strong business and possibly create the opportunity for expansion. The waste of perishable goods and costly staff need to be among the first problems...

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