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Kroger Company Case Analysis

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Kroger Company Case Analysis
Kroger Company - 2005

A. Case Abstract

This is a comprehensive strategic management case that includes the company’s financial statements, organization chart, competitor information, and industry trends. Sufficient internal and external data are provided to enable students to evaluate current strategies and recommend a three-year strategic plan for the company.
The Kroger Company, Inc., with headquarters in Cincinnati, Ohio (513-762-4000), operates over 2,500 supermarkets, 795 convenience stores, and 436 jewelry stores. The Kroger Company employs approximately 290,000 employees. The company achieved annual revenues of $56.4 million in fiscal year ending February 2005, compared to $53.7 million in 2004. Kroger is ranked #19 on the Fortune 500 list and is ranked as the third largest retailer in the world, behind Wal-Mart (#1) and the Home Depot (#2). The company has been in existence for over one hundred years and is the # 1 pure grocery chain in the United States with over 3,770 (including subsidiary businesses) stores in 32 states. Kroger and its subsidiary operations market food, pharmacy, and jewelry products.

B. Vision Statement (proposed)
Our vision is to be America’s supermarket, and to continue to provide innovation and unparalleled value to our customers, employees, and shareholders.

C. Mission Statement (actual)

Our mission is to be a leader in the distribution and merchandising of food, pharmacy, health and personal care items, seasonal merchandise, and related products and services. (proposed)
1. Provide the freshest food, highest quality products, and exceptional service to our customers all at reasonable prices;
2. Be a leader in the distribution and merchandising of food, pharmacy, health and personal care items, seasonal merchandise, and related products and services;
3. Strive to have a prominent, profitable presence and positive name recognition in all 50 states and the District of Columbia;
4. Employ the

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