BackgroundKudler Fine Foods (KFF) is an upscale food store in the Metropolitan area of San Diego. KFF was established by Kathy Kudler, her vision is to built a one-stop gourmet food store. KFF offers the best selection in bread, meat, seafood, dairy, and wine for its customers.SituationsKudler Fine Foods (KFF) uses the finest ingredients to produce breads; unnecessary preservatives are not added to KFF products. Because preservatives are not added to KFF products, bread will be expired in two to three days. The left over breads are accounted for 12 % of total breads produced (University of Phoenix, 2009).
Other aspects of KFF, it produced organic products to targeted customers, as a result KFF faces with limit amount of customers visit the store everyday.Create a Problem StatementKudler Fine Foods (KFF) has the opportunity to eliminate the 12 % waste in bread. Furthermore, consumer based in the metropolitan area is limited to KFF. Although KFF is located in a metropolitan areas consumers are still limited because of the high price in KFF.End State VisionIF Kathy can reduce or possible eliminate the 12 % waste in bread.
She is possible to cover some monthly expense. Here are some ways she can reduce or eliminate the 12 % waste in bread. Firstly, she can lower the price on the bread on the day before expire date. Secondly, she can sell breads in a lower price to public cafeterias, such as school, and city hall.
Kathy had a choice in the high-end gourmet food industry. In order for her to expand her dream, she has to expand product distribution lines. Here are some ways she can expand her product distribution. First, Kathy can open another store in other location within the state, if she has the budget.
Secondly, offer franchise to interested groups. Thirdly, Kathy can deign a website and allows consumer to order online.ConclusionIn conclusion, if Kudler Fine Food can reduce or eliminate waste in bread, and expand geographically. Kathy will be able to generate some profit from the 12 % bread, meanwhile she can grow her business by expand her channel distribution.