Analysis of Kowalski's Markets
Kowalski’s Markets
Management
10/29/12
TABLE OF CONTENTS
Section 1-Overview Page Number
History 2
Products/Services 2-3
Target Customers 3
Size and Senior Management 3
Section 2-Kowalski’s External Environment Page Number
Rivalry 4
Availability of Substitutes 4-5
Deli Section 5
Potential for entry 6
Section 3-Michael Porter’s generic strategies Page Number
Differentiation 6
Store Design 6-7
Section 4-Organizational Structure Page Number
Matrix Structure 7-8
Civic organizational Strategy 8
Recommendations 9
Section 5-Observations and Assumptions Page Number
Atmosphere 9 external features 9-10
Culture 10
Image 11
The first Kowalski's Market was opened in 1983 on Grand avenue. It was opened by Jim and Mary Anne Kowalski with the help of a loan from one of their friends. The first Kowalski's was a converted Red Owl Country Store where Jim had been previously employed. The couple opened their second Kowalski's Market in White Bear Lake, again, converting a Red Owl Country Store. It was at this point that Kowalski’s began the long and arduous process of trying to differentiate their Kowalski's Markets in order to remain competitive and profitable against the much bigger chain grocery stores. In 1991, Kowalski's made one of their first steps to differentiate their stores from others by purchasing a bakery facility that could supply their stores with fresh bakery products at a discounted value. However, it was not until August of 2,000 that Kowalski's Markets really became a unique and differentiated grocery store. That year, the Kowalski’s opened a Kowalski's Market in Woodbury that was designed to look like a European village. It features a glass-walled bakery oven, three restaurant concepts, a department store-quality gift shop, an educational and meeting area, a full service JUUT Salonspa, and a Natural Path department offering organic and natural foods and homeopathic remedies. This
Management
10/29/12
TABLE OF CONTENTS
Section 1-Overview Page Number
History 2
Products/Services 2-3
Target Customers 3
Size and Senior Management 3
Section 2-Kowalski’s External Environment Page Number
Rivalry 4
Availability of Substitutes 4-5
Deli Section 5
Potential for entry 6
Section 3-Michael Porter’s generic strategies Page Number
Differentiation 6
Store Design 6-7
Section 4-Organizational Structure Page Number
Matrix Structure 7-8
Civic organizational Strategy 8
Recommendations 9
Section 5-Observations and Assumptions Page Number
Atmosphere 9 external features 9-10
Culture 10
Image 11
The first Kowalski's Market was opened in 1983 on Grand avenue. It was opened by Jim and Mary Anne Kowalski with the help of a loan from one of their friends. The first Kowalski's was a converted Red Owl Country Store where Jim had been previously employed. The couple opened their second Kowalski's Market in White Bear Lake, again, converting a Red Owl Country Store. It was at this point that Kowalski’s began the long and arduous process of trying to differentiate their Kowalski's Markets in order to remain competitive and profitable against the much bigger chain grocery stores. In 1991, Kowalski's made one of their first steps to differentiate their stores from others by purchasing a bakery facility that could supply their stores with fresh bakery products at a discounted value. However, it was not until August of 2,000 that Kowalski's Markets really became a unique and differentiated grocery store. That year, the Kowalski’s opened a Kowalski's Market in Woodbury that was designed to look like a European village. It features a glass-walled bakery oven, three restaurant concepts, a department store-quality gift shop, an educational and meeting area, a full service JUUT Salonspa, and a Natural Path department offering organic and natural foods and homeopathic remedies. This