The market structure that best relates to the virtual organization is revealed to access whether the organization has the ability to achieve long term profitability. At the end of the analysis recommendations will be provided to the company to show how the company can maximize profits. Judder Fine Foods is a gourmet shopping center that offers the finest pick of goods to all of its customers (Apollo Group, 2011 These goods contain organic ingredients and/or fresh selection without unnecessary preservatives (Apollo Group, 2011).
Goods are rotated on the shelf on an ongoing basis, and those foods that are still In good condition are often donated to local shelters (Apollo Group, 2011 Judder relies on the selective hilling of Its associates to ensure that each customer that comes Into heir stores are fully satisfied with its services. If a customer is looking for a specific product and does not see it on the shelves, the store will special order the product for the customer (Apollo Group, 2011). The strategic customer service offered by the store allows the company to remain one of the top picks by customers to go to for their food needs.
Based on the tools and resources available, Judder Fine foods remains very competitive in the food market. The organization has developed a loyalty by its customers and has profited from this loyalty. The company has achieved reparability by expanding its services such as parties and frequent shopper programs (Apollo Group, 201 1 The development of these added programs Increased their revenue and expanded their customer base. Judder Foods was the first to create these type of programs, first In their marketing area.
Another way the company Is competitive in the marketplace is through providing customers with new gourmet selections (Apollo Group, 2011 This allows the company to follow trends of its customers and being able to set a price on those items. By being flexible on their pricing, the company can change prices when there is need to stimulate the sale on elect products. This keeps Judder Fine Foods competitive in the marketplace. The market surveys located on the store intranet site identifies the organization’s strengths and weaknesses.
The following are examples of the stores strengths: the stores appearance, clean and orderly, easy to find what you are looking for; store hours, flexible and convenient for people to shop; and the quality of their products (Apollo Group, 2011). These strengths are the first steps In providing quality to their customers and gallon loyalty. The weaknesses of the store are a staff that Is not knowledgeable and lacks some courtesy (Apollo Group, 2011 These weaknesses are huge failures for the store. To keep customers coming back, management needs to sell.
Judder Fine Foods needs togged back to the basics of the training programs. Lack of training can be why the market survey showed so low results. Based on the information provided, the Judder Fine Foods belongs to the oligopoly market structure. Oligopoly markets have only a few number of sellers in the market (Colander, 2010). Judder Fine Foods is one of only a handful of competitors in the market that offers the same products and service to its customers. The market structure for the organization has both positive and negative effects.
The positive effects of being in a oligopoly market is that the leader in the market can drive the competition between the few companies and make massive profits by setting prices (Colander, 2010). This is beneficial during economic hardship because the company will be able to sustain itself during the recession. The profits in the oligopoly market structure allow a company to become profitable in the long run because of how the market structures are set up, to not allow Just any business to enter (Colander, 2010). The disadvantages of an oligopoly market structure are the prices (Colander, 2010).
Since there are no alternatives in pricing, such as lower prices for products, the customer must pay the price for product that the food market offers. Another disadvantage is that the company in this market structure could become too comfortable in its position in the market (Colander, 2010). By not creating new innovative ideas, Judder Fine Foods may find itself obsolete creating a path for a new leader to be created within their market. Keller Fine Foods must retain competitive strategies to remain the leader in the industry.
Recommendations for competitive strategies for the company would be to increase training, expand to new locations, and to increase advertising. The market survey shows that customer do not agree that the employees are courteous or knowledgeable. By increasing training to change customer’s outlook on the company would be to provide customer service lessons and increasing knowledge base of products. This will guarantee that the customer will have a desirable experience while shopping at Judder Fine Foods. Expansion of store locations will widen the store customer base allow the company to take over the arrest in many different locations.
Research of demographics will impose an analysis of the best locations to establish new store locations. Right now Judder Fine Foods advertises in local newspapers, by increasing its advertising to televisions and radio stations the company will be able to increase awareness of their products and services offered. By use of these recommendation the company will continue to gain success and become comparable to other large grocery franchises such as County Market. County Market is a grocery store chain that offers an extensive product base of products that are not evident in other grocery stores.
However, County Market does not have the list of fine foods that are offered by Judder Fine Foods. This will intensify competition between the two companies if Judder Fine Foods can expand become competition with County Market. In summary an analysis was performed on the virtual organization, Judder Fine Foods. By use of the intranet website of the company there was tools and resources available to make an accurate picture of the company. Thus allow identification of the company’s strengths and weaknesses. The strengths of the company allows the company to sustain itself in the marketplace.