...1. Describe Dollar General according to the different types of retailers discussed in the chapter. Dollar General is a discount retailer. In comparison the Walmart, Dollar General is considered to be a small box discount chain. They sale a small selection of products at low costs but remain a relatively small threat to big-box stores. 2. As a retail brand, assess the Dollar General strategy with respect to segmentation, targeting, differentiation, and positioning. Retailers must first segment and define their target markets and then decide how they will differentiate and position themselves in the market. Dollar General acquired the word “dollar” to differentiate themselves from their competitors and gain the attention of the consumers. Particularly, consumers with incomes less than $50,000. Dollar General’s decision to sell a carefully selected assortment of mostly brand name items has positioned them to sell $14.8 billion in revenues in 2013. In addition to low prices the company emphasized convenience and quality brands. 3. List all the reasons why Dollar General has been so successful over the past 40 years. Dollar General stands for convenience, quality brands, and low prices. They save consumers time and money by offering convenience and quality name brand products. They offer named brand items 20-40% less than grocery store prices. Their prices are roughly in line with big-name discount stores. They have opened more than 10,000 stores in 40...
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...Dollar General Analysis Ricky Rich MGT/521 10 Nov 2014 Dr. Bridges Dollar General Analysis Dollar General Corporation is a premier low-cost retailer organization in the United States. It is amongst the biggest retailers with over 11,500 stores that provide quality commodities made by American manufacturers. One of the Dollar General’s main objectives is to create an atmosphere that enables access to everyday items worry-free, rather it is a simple bar of soap or a box of detergent. This objective is achieved by offering a detailed variety of recognized labels at affordable prices in well-located and accessible locations (Dollar General Corporation, 2014). Multiple strategic and operational company goals were identified in the SWOT analysis. For this assignment, the discussion will be focused on providing customers a better life as a strategic goal and operating in an environmentally safe working atmosphereas an operational goal. Providing a better life for customers and excellent opportunities for employees A typical Dollar Generaloccupies close to 7,000 square feet of retail space and mainly provides service for patrons within a five mile radius of the store. The majority of the locations serve local areas with small residential populations below 20,000 (Hotstocked.com, 2014). Management knows that its preferred shoppers enjoy the luxury of a small, community store. The belief is also that Dollar General’s accessible money-saving store model will remain popular in...
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...ASSIGNMENT NO 1 CASE STUDY Dollar General: Heavy on organization, Light on systems Cemex: A Digital Firm In The Making Submitted to: Asif Iqbal Submitted by: Md.Abdullah al-Reza Question 1: Describe Dollar General’s business strategy. Why has the company been so successful? Answer: Dollar General is an aggressive competitor in the deep discount retail industry, the main reason for the company’s success is the business strategy, the company believes in locating Dollar General Stores within communities, targeting municipalities that are home to fewer than 20,000 residents. The company believes that filling the role of neighborhood store is a big part of its success. Dollar General accomplishes success by rapidly opening stores and running each store at the lowest operating cost possible. It takes full advantage of this strategy by developing a system for opening new stores that shapes the procedure down to a scant eight days. Dollar General views this system very important for its business success. Question 2: Describe the role of management, organization and technology in Dollar General’s business strategy? Answer: Management plays a vital role in the business strategy of Dollar General, with the opening of a new store the management starts working for hiring the construction team to perform all the work required to bring the Dollar General store on the floor. The organization outlines the proper positioning and placement of for all fixtures and...
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...The Dollar General Informal Analytical Report Professor XXX DeVry University June 1, 2014 999 West Big Beaver Road Troy, Michigan (USA) 48084 kfirst@kellyservices.com Dollar General is widely regarded as one of the chief discount vendors in the United States. Based in Goodlettsville, Tennessee, it has over 11,000 stores across 40 states, serving to customers with the idea of making shopping easier, and convenient, by carefully sorting out the goods, and selling them at spectacularly low prices, the store’s growth rate saw a decline Because the targeted audience of Dollar General looks for buying everyday household good at the lowest prices, they are suspended to growing more in periods of recessions. Such stores find themselves under pressure at times because they cannot increase the prices of their goods even when the costs of operations are on the rise. By analyzing the average earnings of household in the West of the country, as well as Upper-Midwest, there is room for growth courtesy of new stores. Opening of their stores in California could well be stressful for them, as the market is challenging, and there is little room for newcomers, unless they come up with impressive deals. On the other hand, their plan of having a merger with their rivals Family Dollar is on the cards, though it is hard to figure out the impact it would have on the two parties/the newly formed company. Also, Dollar General does not cater all departments...
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...as Costco and BJ’s, the fastest-growing portion of the overall retail industry in the United States during the past decade has been in the dollar store segment. From 2000-2005 dollar stores had a compound annual growth rate (CAGR) of 10.2% which was nearly double the 5.6% CAGR in the retail industry as a whole. Sales from these discount stores were $24.7 billion in 2000 and were expected to more than double to $51.1 billion in 2009 (Exhibit 8). Two main drivers fueled this growth trend. The first was a cultural shift in consumers towards a bargain-based mentality. This was spurred by an increased presence of retailers with a low cost strategy including Wal-Mart, Sam’s Club, and Target over the past three decades. The second was the rising number of Americans falling below the poverty line as well as the number of people on fixed incomes due to the rapidly aging population resulting from the baby-boom after World War II. While the CAGR of dollar stores was forecasted to slow to 6.2% during 2005-2009, the actual decrease is likely to be smaller as more consumers try to stretch their dollars further through these retail outlets because of the global economic downturn of 2008. Industry Analysis Dollar General (DG) operates as an extreme-value retailer in the dollar store segment of the retail industry. Other categories that dollar stores fall under are single-price-point retailers, close-out retailers, and limited assortment grocery retailers. These retailers often operate...
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...(MG 181) Dollar General/Family Dollar Case Study 4/6/16 Walmart is the largest retailer in the world and is the second largest retailer, behind Amazon, in the United States. The majority of households in America shop at Walmart on a regular basis. However, Dollar General and Family Dollar have increasingly gained market-share over the years. Both stores are considered extreme value retailers. By definition, extreme value retailers are small, full-line discount stores that offer a limited merchandise assortment at very low prices. In 2005, Goodlettsville, Tennessee-based Dollar General had over 7,500 stores in 30 states and more than $7 billion in sales. The company has grown more than 20% each year for the last six years. In 2004, Matthews, North Carolina-based Family Dollar had approximately 5,600 stores in 44 states with more than $5 billion in sales. Both retailers are growing so rapidly that each are opening, on average, one new store a day. The typical Dollar General/Family Dollar customer is low-to-middle income young families, older customers on fixed incomes, ethnic groups and shoppers in rural and urban areas. These consumers frequently find good quality merchandise at competitive prices. The geographic breakdown of consumers who shop there is about the same as Walmart and Kmart. Approximately 25 percent of U.S. households shop at an extreme value retailer at least once a month. While Dollar General and Family Dollar are considered “dollar store”...
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...LP 2 Seminar Assessment: Dollar General Corp., et al. v. The Mississippi Band of Choctaw Indians, et al., No. 13-1496, U.S. Sup. Following the LA6100 course –Legal Environment for Global Organizations Anh Quoc Nguyen National American University Question 1: What are the questions the court is deciding in this case? First of all, there are multiple issues involved in this case which are as follows: • A fact that the tribal court had the power to exercise jurisdiction of the non-Indian, that met the first exemption noted in the case of Montana v United States, which allowed tribes to judge civil actions, not criminal, over non-Indian people on tribal land when the non-Indian entered into a consensual relationship with the tribe....
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...Finance IPO Paper Dollar General Corporation Dollar General Corporation was founded in 1939 by Cal Turner in Scottsville, Kentucky. The initial concept of Dollar General was that no item in the store would cost more than one dollar. Dollar General Stores are normally located in small shopping plazas or strip malls in local neighborhoods. In recent years, Dollar General has started constructing more stand-alone stores, mostly in areas that are not served by other general merchandise retailers. Today, Dollar General Headquarters is located in Goodlettsville, TN. Dollar General offers both name brand and generic products, including off-brand goods and close- outs of name-brand items to its consumers. Dollar General has also begun to offer a greater selection of grocery items including frozen foods similar to that of a grocery store. The Dollar General Stores that carry the grocery and frozen products are similar to Wal-Mart Supercenter, thought they are much smaller, operate under the name of Dollar General Market. Dollar General serves communities that are too small for larger retail chains such as Wal-Mart. Its competitors are national chains such as Family Dollar, Dollar Tree, and Fred’s in the southeast. By 1957, Dollar General had 29 stores and their annual sale for these stores was around $5 million. Dollar General has also been connected with motorsports like NASCAR. It is now sponsoring Turner Motorsports Nationwide Series. Dollar General has created an...
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...Dollar Tree Analysis Name: Date: Analyze the business-level strategies The sluggish economy has created a perfect storm in favor of the retail business. Dollar Tree, Wal-Mart, and Dollar General have generated significant profits as a result of the sluggish economy. These firms have embraced the financial opportunity amid consumer pessimism. This evaluation will disgust the business level-strategy practiced by Dollar Tree. We will discuss its strength, weakness, opportunity, and threats. The organization strength has made it possible to respond to realistic opportunities. The firm’s decision makers thrive to increase profit. Consequently, their proven ingenuity has shaped the strategic business model. In short, Dollar Tree has the ability to sustain long-term growth, and sufficient cash to invest in new ventures. As a result, company’s estimates have significantly increased. Organizations can maintain a competitive advantage only if they can provide their customers competitive products at low prices (Hitt, Ireland, & Hoskisson, 2013). Dollar Tree offers consumers this service, more value for 1$, no other competitor has been able to match this strategy. Dollar Tree operates as a discount variety store selling products at a uniform price of $1 or less. Dollar Tree operates 4,842 stores nationwide and 5 Canadian Providence (Dollar Tree, 2013). Moreover...
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...People give feedback on social media about businesses more often verses calling. Globally, Dollar General Store is already using social media as an important tool to connect consumers and employees as well as to inform product development. The experience of early adopters demonstrates that an effective social media strategy can be used to draw customers in to a one stop shop for all of the needs. Dollar General Stores have a strong strong brand presence on Twitter, Pinterest, and Facebook. Dollar General is known for their low prices and making sure the needs of the consumers are met. In considering what to do with and about social media, Dollar General Stores cannot afford to take a “wait-and-see” approach or you may soon find yourself playing catch up with competitors. Even if you do not currently have an active social media presence, your employees and customers are already using social media and may be sharing information about you. Last year Dollar General ran a sale on diapers. The ad we ran stated the all size and quantity of Pampers are $9.50. A lot of the big retail stores say that they are willing to do price match to the same items. Walmart stop honoring the price match on the diapers because they were selling some diapers for 75% less than retail price. Customer took to Facebook and twitter because they were no longer abiding by the company price matching policy. Dollar General won the social media war with this tactic. At minimum, organizations need a “protective”...
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...Dollar General Who does not love low prices for everyday necessities? Dollar General is a well know store all around that has great things for low prices. The store is all about serving people, saving time while a person shops, and providing low prices with the most popular brands. The mission statement is "For Customers... Price Quality, and Great Prices. For Employees... Respect and Opportunity for Shareholders... A Superior Return for Communities... A Better Life"(Barbara Farfan). The store stands for convenience with quality brands and low prices for each customer that shops there. Dollar General is the place everyone can shop for great value and wonderful prices. There is so much history this store has that most people do not know. Dollar...
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...Question 1: Describe Dollar General’s business strategy. Why has the company been so successful? Answer: Dollar General is an aggressive competitor in the deep discount retail industry, the main reason for the company’s success is the business strategy, the company believes in locating Dollar General Stores within communities, targeting municipalities that are home to fewer than 20,000 residents. The company believes that filling the role of neighborhood store is a big part of its success. Dollar General accomplishes success by rapidly opening stores and running each store at the lowest operating cost possible. It takes full advantage of this strategy by developing a system for opening new stores that shapes the procedure down to a scant eight days. Dollar General views this system very important for its business success. Question 2: Describe the role of management, organization and technology in Dollar General’s business strategy? Answer: Management plays a vital role in the business strategy of Dollar General, with the opening of a new store the management starts working for hiring the construction team to perform all the work required to bring the Dollar General store on the floor. The organization outlines the proper positioning and placement of for all fixtures and products in guidebook known as planogram, whish are detailed right down to instructing employees organization maintains close control over every aspect of ...
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...Strategy Dollar General’s mission statement is “Serving Others.” To carry out this mission, the Company has developed a business strategy of providing its customers with a focused assortment of fairly priced, consumable merchandise in a convenient, small-store format. Our Customers . The Company serves the basic consumable needs of customers primarily in the low and middle-income brackets and those on fixed incomes. According to AC Nielsen’s 2005 Homescan® data, in 2005 approximately 48% of the Company’s customers earned less than $30,000 per year and approximately 26% earned less than $20,000 per year. The Company’s merchandising and operating strategies are primarily designed to meet the need for basic consumable products of the consumers in these lower income groups. Our Stores . The traditional Dollar General store has, on average, approximately 6,800 square feet of selling space and generally serves customers who live within five miles of the store. Of the Company’s 8,019 stores operating as of March 3, 2006, approximately 4,580 serve communities with populations of 20,000 or less. The Company believes that its target customers prefer the convenience of a small, neighborhood store. The Company believes that Dollar General’s convenient discount store format will continue to attract customers and provide the Company with a competitive advantage. In 2003, the Company began testing a Dollar General Market concept. Dollar General Markets are larger than the...
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...Interested in preserving Dollar General’s efforts in offering first time employment opportunities to individuals, other criteria should be met to deem Dollar General’s efforts successful. A training course should be incorporated into the new CSR Plan as it is needed to ensure a level positive and coherent productivity is conducted by each new employee. This training course should implement real life scenarios, which would prepare a new employee for difficult situations that may arise. In addition, audits should be conducted prior to any major economic change in the company occurs, i.e. acquisitions, stock buybacks, selling assets, etc. This should be done in order to maintain the credibility of Dollar General and will prevent any leaked information before Dollar General is made aware of their own affairs. These measure will help in maintaining an honorable CSR plan and structure. Political Dollar General is only interested in entertaining ideas of great business practices and making ethical decisions that...
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...Week 4 SWOT Analysis By: Jeannie Gilmore University of Phoenix Shane Wentz, Instructor | | Dollar General: What would you say if I could told everyone that the average person could get their groceries and other everyday household items at a price approximately 25% below the average supermarket shelf pricing in a conveniently located store, where you don’t have to walk long distances and where you won’t get lost in the isles? | 4/7/2013 4/7/2013 When reviewing all the business plans, I chose the Dollar General Store for this analysis. If a person reviewed Dollar General in this fashion, by understanding all the changes and success, it is easy to see why Dollar General is in the top category for retail merchandising. Strengths - In the highly competitive retailing arena, many players compete for the lead. One would think that retail giants like Wal-Mart, K-Mart or Target would dominate the market. However, in the past few years, it’s Dollar Stores like Family Dollar, Dollar General or Dollar Tree that have taken the advantage, with share gains significantly higher than the ones provided by other retailers. Dollar stores price their products approximately 25% below supermarkets and drugstores, yet offer equal or many times have better conveniences. Amongst Dollar Stores Chain, Dollar General is the big brother to them all. With over 10,000 stores in the United States, this leading company owes a large piece of its successes to an efficient management team...
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