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Kudler Fine Foods |
What are the issues |
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Norma Raynor |
9/1/2010 |
Professor : Vinny Yakoobian |
Kudler Fine Foods was established in 1988 by Kathy Kudler. Kudler Foods was started due to a vision that Kathy had to own her own gourmet food store. In the store there is: a bakery, meat section, produce, cheese and dairy section and also a fine wine counter. Because Kathy has started her business with no experience in operating a gourmet food shop, there are some issues that can be found in the strategic planning of her business.
The first issue that can be found as research is done on her business is with the potential health of Kathy. Kathy works seven day a week in all stores, most of her time is spent ordering supplies, and for restocking the stores after out dated perishables are pulled from the shelf during inventory. With all of her time spent on the three different locations there is little time for a personal life or very much rest. Kathy controls the finances of the full business operation. She is responsible for paying all vendors, and because there is no back up help for her at this time, if Kathy were to get sick the orders would not get done, the vendors would not get paid and the deliveries would stop.
Kathy has three locations a store in La Jolla, Del Mar and a new store that just opened in Encinitas all in California. The issue with the Del Mar location is that it is located only about 35 minutes away from the La Jolla store. The short distance between stores and the small size of the town is causing a hardship on the Del Mar stores profit. Since the store has opened with lack of traffic the store has only been able to break even in profit.
Another issue that was found is the use of only perishable items. These items have limited shelf-life. Kathy has chosen not to use any preservatives, therefore approximately 12% of her perishable outdated merchandise has to be pulled and...