Dollar General: Heavy on Organization, Light on Systems

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Week-1 Assignment

Dollar General: Heavy on Organization, Light on Systems

Managing Technology for Organizations

April 20, 2006

Dollar General, a family of small, neighborhood store delivers with convenience and value on the basics needs of their customer. The store vows to help their customers save time and money just as it competitors Wal-Mart and Dollar Tree. However Dollar General believe that combination helps our customers have a better life, and that is important to their success. From the first Dollar General Store in 1955 to the more than 8,000 stores are operating today, their strategy remains customer-driven; however the company has been in service since 1939.

Dollar General Corporation’s headquarters is currently located in Goodlettsville, Tennessee. Dollar General offer a product line of general merchandise including house wares, cleaning supplies, health food, stationery, seasonal offerings, and other household consumables. The recent annual sales figures mounted to $6.9 billion, which positioned the organization at the top of their category of discount retailers. When comparing to the total revenue, the dollar store is unable to compete with superstores. However Dollar General did surpass Wal-Mart’s bench mark by earning 4.3 cents for every dollar of sales.

The organization has held in reserve from the big box super center store model used by their competitors. The stores are mostly located on the outskirts of cities or outside of particular towns. The reasoning is that the chain of stores stands out from their competitors. This marketing strategy was established to draw customers from a broad area within the location of the stores. It was reported in 2004 that Dollar General was operating 6,930 stores with 57,800 employees in 29 states. Since that time frame the chain store has doubled in size.

Taking full advantage of the strategy of drawing customers, Dollar General has developed a system for opening new...
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