In: Business and Management

Submitted By damra1
Words 2882
Pages 12
Cody Butler, Ahmad Damra, & Doug Edwards
Sullivan University

Since it first began in the late 1800’s, Kroger had been a store motivated to expand its role in the community. After first starting out by selling grocery items to customers, it began to also sell bakery items and opened bakeries within the grocery store itself. This was a big convenience for the consumer to be able to shop for most of their grocery items within the same store. The company then set its sights on the meat industry by purchasing several meat markets and packing plants. This allowed them to provide cuts of meat to their customers so that they didn’t have to go to another store to purchase meats. Once again, they found a needed service and expanded their role to capitalize on it. [ (Kroger, 2012) ]
Over the years, Kroger’s expansion has followed much of the same lines. Once a service or need in the community is identified, the company researches their role and how they can provide this service within the Kroger store. Some ideas stay and are profitable while others fall by the wayside due to being too costly or not the right fit for the Kroger store. Consumers respond to these services and keep coming back to the Kroger store for their grocery needs as well as other needs that are not grocery related. [ (Kroger, 2012) ]
One example of this is the Kroger pharmacy. This service allows the customer to buy their pharmacy items from Kroger and their prescriptions can be readied while they shop for groceries. Another example is Kroger gas stations. Most are right outside the Kroger store in the parking lot. Kroger provides a discount on gas for their loyal customers that also buy groceries from Kroger. These discounts build depending on how much money the customer spends on groceries or prescriptions each month. [ (Kroger, 2012) ]