Kudler Fine Foods Current Situation and Future Goals

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Kudler Fine Foods Current Situation and Future Goals
Bryan Beall
University of Phoenix

Kudler Fine Foods Current Situation and Future Goals
The Situation
True to its name, Kudler Fine Foods (KFF) is a California company that specializes in gourmet foods including a European-Style Bakery, a certified organic meat department, a produce section with fresh fruit and herbs, gourmet cheeses, and an extensive wine collection. Kathy Kudler created the company 1998 and since then has expanded her company to include three stores including locations in La Jolla, Del Mar, and Encinitas. Kudler still shoulders the majority of the responsibility for Kudler Fine Foods including replacing inventory, managing payroll, catering, and firing/hiring of staff. Kathy’s immediate goal is to close the Del Mar location that has not been profitable, and open a new location in Carlsbad which is close enough to Del Mar to service current customers but closer to Oceanside which has more than 160,000 residents with higher average incomes. Kathy’s long-term goals with the company are to expand store locations while striving to offer more fine food options. She is looking to enlarge the coffee and tea section of the store, and construct a fish counter and deli in the meat department of each store. One of her primary goals is to create a niche within the market. Trader Joe’s has a similar setup as KFF but with 167 locations in California alone, Trader Joe’s is much larger in scale, contracting with companies throughout the world to stock their shelves with unique items for adventurous shoppers (Kowitt, 2010). Although competing directly with Trader Joes is probably unrealistic, Kathy wants to expand KFF before selling the company and retiring with the profits. The Problems

Although KFF has done fairly well within the gourmet food market, there are some problems that need to be addressed before further expansion occurs. The primary problem is that Kathy Kudler is overly...
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