Superior

In: Business and Management

Submitted By nurulhasliana
Words 2981
Pages 12
1. INTRODUCTION

1. BACKGROUND COMPANY

Superior supermarket is the one of division of Consolidated Hall. Consolidated Hall is a privately owned wholesale and retail food distributor. In year 1959, the Hall Consolidated was formed. In year 1970, the first retail grocery store chain was purchased. The superior supermarket chain was acquired in 1975.The Hall distributed food and related products to some 150 company owned supermarket units operating under three supermarket chain names through 12 wholesale distribution centers.By year 2002 also,1,100 independent store also supplied by Hall distribution in Unites States. In the year, the sales were $2.3 billion.

In supermarket chain owned by Hall consolidated, Superior supermarket is the smallest compared to three supermarket chain in Hall consolidated. The superior gained with sales of 192.2 million in year 2002.In trade areas with small cities and towns in South Central Unites States, the superior served them conventionally.

The median size is about 44,000 square feet in United States. So the superior is considered small because the areas of the superior supermarket just cover about 20,730 square feet. Even though the size is small, the superior was the number 1 or number 2 in ranking of supermarket chain in each of its trade measured by market share. The figure 1.1 below had shown the front view of superior supermarket.

Figure 1.1: The view in front of Superior Supermarket.

2. OBJECTIVES

1) To decide whether to change the pricing strategy to be lower price or to continue the current pricing strategy.

3. CONSTRAINTS

1) Competitors ( 3 major establish supermarket)

The three major competitor operates in Centralia were Harrison’s, Grand American, and Missouri Mart. These major competitors have their own strength…...

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