Kudler Fine Foods Problem Statement

Problem Statement: Kudler Fine Foods

Kudler Fine Foods is a gourmet grocery store company located in southern California designed to meet the needs for shoppers who are searching for the finest meats, produce, cheeses, and wine. Kudler Fine Foods was established when Kathy Kudler, the owner who has a passion for gourmet foods successfully met her goal of creating a one-stop shopping experience at a place with variety and reasonable prices. The company celebrated the grand opening of their first store in La Jolla in 1998 and has since grown to include two additional locations in Del Mar and Encinitas respectively. The company, while growing larger continues to stand by their mission statement that states the fact that they are committed to providing the customers with the finest selection of the very best foods and wines to ensure that all culinary dreams come true. While the original La Jolla location continues to grow, and the recently opened Encinitas appears to be thriving, Kudler Fine Foods is posed with a problem in that the Del Mar location has been experiencing serious difficulties. As a result of these difficulties, I have decided to focus my problem statement on this particular issue and the potential threats it poses to the Kudler Fine Foods organization along with the positive effects that would be seen if management were to take appropriate action in rectifying this problem.

The Kudler Fine Foods strategic plan outlines the fact that the company feels the problems hindering the Del Mar location stem from the low population of the city. Del Mar’s population is only 4, 389 compared to 44,424 and over 50,000 for La Jolla and Encinitas. Despite the fact that the median household income in Del Mar is listed to be $98,257, the decreased consumer population has led to the store struggling to bring in enough revenue to break even.

The company recognizes the fact that there are problems associated with the Del Mar location and has begun planning to address...