Trader Joe's Grocery store company (Questions and answers)

In this case study, there is a proper discussion about the best store that is located in America. The name of this store is Trader Joe’s. This company is involved in selling fresh products to their customers so that their customers are able to gain benefits in the future. They are just making their customer reliable by focusing on the quality of products. This has been achieved through the best and ideal set of value chain activities. All of these activities are helping this store to get more reliable and best store in America.

The consumers were ranking this store best second store in this country in 2012. Then on the basis of this rank, they are just expanding their supermarkets all over the country. Due to their too much high fame in the country, they are just focusing on attracting more imitators for their supermarket. The concept of this company is quite unique and valuable due to this have recorded fame all over the world. The best thing in Trader Joe’s company is that they are not just working on introducing smaller footprint stores, but they are also attracting large footprint stores. This is why they are extremely valuable in this country. The case study is about the selling strategy of this store in detail. This means that how they are dealing with all things.

Question 1

What is Trader Joe’s competitive positioning (i.e., cost leadership, differentiation, etc.)? Provide evidence to support your answer.

Answer

            This is one of the best grocery stores that are located in America. This grocery store is involved in providing everything fresh and on time. For the data of this company, it can be seen that this store is working on making the cost-effective for their products. This is because there are many stores in America. Every store in this country is working on cost leadership. They are involved in selling fresh products to their customers that why they are selling different products with effective costs to the customers. Due to this, the store is facing some problems in the supermarket chains. They are also facing some financial distress in their store and losing their main regular customers. But in 2013, this store starting to upgrade on expanding its stores all over the country (Campbell, Lo, & MacKinlay, 2012).

This store is standing above all the grocery store; the reason is that they are selling fresh products at minimum cost. That is why this store has no competitor in this country after 2013.

Question 2

Does Trader Joe’s advantage come from a single source, or is it from a set of activities?  If it is from a set of activities, what elements of its value chain give it an advantage?

 Answer

This store is one of the best stores in America the reason is that they are involved in different valuable activities that are important for their store. It can be seen that there are about 344 food stores that are located in 25 states of America. The reason is that they always gain a competitive advantage due to their set of activities. This store set the best advantage by selling fresh food to their customers. Through the set of activities, they are just making an extreme profit and also expanding their business on a regular basis (Chaffey & Smith, 2017).

Question 3

In developing a strategy, a firm has to make trade-offs, in that, it has to choose to do some things and choose not to do other things. How Trader Joe has approached trade-offs in:

The products which aimed the sophisticated consumer is offered by Trader Joe’s, and it is interesting in finding the good bargains. Then the products offered, which is stored and tried like the sprouted, wheat bread, coffees as well as black rice that is found in the supermarkets. Movement of the environment which had caught the Coulombe’s eye in the early years that is prompted to him and sell various organic and natural foods.

a.      Offering private label products instead of national brands

Trader Joe’s offering private label products as compare to the national products. The first product that is a private label is granola, which is launched in 1972. The Trader Joe’s which is offered the extensive line of the private label items by the brand names like the Trader Jose, Trader Ming’s, Trader Giotto. By the coulomb the experimented by the different variety of the nonfood items which is ranging from the music album to the pantyhose. Mostly the private label goods are at the low price, which has the stocked far the fewer items as compared to the supermarkets which maintained the fairly small footprint grocery discounts.

During 2002, Trader Joe’s began the selling for it's famous, and private label wines and the wine is sold under the different names like the Charles Shaw. Approximately more than 80% of the products in Trader Joe’s is consisted the Private label items. And in the supermarkets, there are less than 20% of the sales by the private label item.  Trader Joe’s is not wanted the rivals for customers, which is known as the sourced as the private labels item.

b.      Minimal spending on advertising

The Trader Joe’s is marketed primarily by the fearless of the flyer with the occasional ads of radio, along with the ads of the televisions. The company which is written as well as produced the radio spots, itself as compared to rather than the minimal spending on the advertising agency. The professional's actors rather than the employees which is started in different commercials, then the employees are the each stored is served as the residents of the artists which is produced the quirky handwritten signage. All of these activities are helping this store to get more reliable and best store in America.

The consumers were ranking this store best second store in this country in 2012. Trader Joe’s not spending as much money on the adverting as well as marketing as its competitors do. In the strategy, the bonus is that the cost of the advertising is not to be tacked in Trader Joe’s goods.

c.       Employee compensation

When the new employees come from the broad, then they received the 10 days for the training. On the different purchase, the employees received the 10% discount. Then Trader Joe’s wanted that, their employees become familiar with the company products which is encouraging the different items by the various store. The expense account which is provided through the employees is received by every store for the sample of the foods.

The company is provided with different opportunities for the sampling of food for their customers. The expectation of Trader Joe’s is that they wanted its employee to be the generalist but not the specialist.

 

Question 4

Do you think Trader Joe’s will succeed as it increases its store count all across America?

Answer

Yes, it can be seen from the case study that their company is increasing its store on an annual basis. This is because they are working on making different cost leadership strategies in their supermarket. The next reason is that they are just selling fresh and valuable products at a very low cost.

This store is also giving their employees compensation. Then their employee is working on making this store one of the best store in this country. The employees of this store are loyal and sincere; that’s why they are improving the quality of the products and enhancing their business all over the country. They are also facing some financial distress in their store and losing their main regular customers.

The trader Joes is also extracted the ton of the different values form the America, where at least it is used the natural resources, like the creative , pool of the artsy , as well as the college of the young peoples who graduate without the hard skills.

Conclusion on Trader Joe's Grocery store company

Summing up all the discussion from above, it is concluded that Trader Joe’s is one of the best superstores in this country. Because it has many traditional supermarkets, where the chain is founded by the shedding of the employees in order to become more competitive. Like in 2013, Trader Joe’s is expended 400 location, along with the 37 states in the District of the Columbia

References of Trader Joe's Grocery store company