Alternative Strategies for Kudler Fine Foods
Kudler Fine Foods (KFF) has a vision and needs to use strategic planning to grow. The strategic section involves a constant evaluation of internal and external environments and how it affects KFF's future. Team B will present five alternatives for KFF to plan successfully for future endeavors. These alternatives consist of management restructure, market development, product development, differentiation, and technological advancements.
Management Restructure
KFF has grown out of its initial business plan and can no longer grow with one person running everything. KFF can use horizontal integration as a strategy to improve the company management. This strategy allows the skills of KFF managers to convert possible new sites into profitable contributors to the profit margin (University of Phoenix, 2009). The special thing about this process is that it expands on a fundamental competitive advantage for KFF - the knowledge management has of key personnel.
A strategy that could be used to restructure management is retrenchment. Retrenchment is trimming current operations. If the weaknesses of KFF come from inefficiencies, retrenchment can serve as a turnaround strategy (Pearce & Robinson, 2009). This could result in KFF gaining new strength from streamlining of operations and elimination of waste.
Market Development
Another strategy that KFF could implement to increase sales would be the grand strategy of market development. The main reason a market development strategy fits the organization relates to the span of control issues that develop with additional locations with limited capital investment. This strategy "ranks second only to concentration as the least costly and least risky of the 15 grand strategies" (Pearce & Robinson, 2009, page 214).