Kroger Organizational Change Proposition Nate Cockrum, Matt culver, christian curtis, marissa dodd

Strengths

  • Kroger is second only to Wal-Mart in terms of revenue, net income, and total assets.
  • Kroger's earnings growth for the next five years is predicted to be 8.24%.

Weaknesses

  • Kroger has a high debt-to-equity ratio compared to industry competitors.
  • Kroger is relatively regionally concentrated compared to supermarket competitors.

Opportunities

  • Kroger carries a multitude of private labels, and those product's sales have been rising.
  • Kroger has the opportunity to expand into fifteen states.
  • Kroger's recent purchase of the supermarket chain Roundy's.

Threats

  • Kroger's products are also available at competitor's stores, at cheaper prices.
  • The online grocery market is beginning to be a larger competitor.

Proposed Change

  • We propose that Kroger expand their operations into the fifteen states that they have no stores, particularly the Northeast region of the United States of America.

Rationale

  • There is a new market that has no Kroger stores.
  • Smaller, regionally located grocery retailers would be the competitors.
  • Continuing market momentum by creating a presence in a new market.

Kotter's Change Model

  1. Create Sense of Urgency
  2. Build the Guiding Coalition
  3. Form Strategic Vision and Initiatives
  4. Enlist a Volunteer Army
  5. Enable Action by Removing Barriers
  6. Generate Short Term Wins
  7. Sustain Acceleration
  8. Institute Change

Conclusion

Credits:

Created with images by Nicholas Eckhart - "Kroger in Westerville" • Nicholas Eckhart - "Kroger in Columbus" • stevepb - "shopping supermarket merchandising" • SocialAlex - "Cheese in the Supermarket" • Nicholas Eckhart - "Kroger in Chillicothe"

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