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Kudler fine foods is an upscale food store with an overall objective of maximizing profits. For this to happen, the company is focusing on expanding sales, outsourcing some functions, as well as closing some branches as a strategy. For any company to succeed, environmental factors in which the business operates are to be considered. These are factors such as legal, social-cultural, economic, and technological factors.

Technology is an aspect that each and every business must consider in its day-to-day operations. This is because technology helps to reduce the cost of running the business, technology may also be used to increase customer satisfaction by embarking customer online ordering, customers are better satisfied as this reduces time spent on ordering. Most inconveniencies on order, especially costs on paperwork, are also avoided. Kudler has adopted technology as a basis to promote sales. Internet sales online, customer ordering, are just but a few of the different ways technology has created opportunities for Kudler. The number of employees that Kudler is employing has significantly reduced as a result of embracing technology.

Legal factors are also to be factored in when analyzing the external and internal business factors (Barnley 246). The legal framework is set by the government regulatory agencies. It may focus mostly on how the company carries out its business practices, whether the goods produced are harmful in any way to the consumers, the health implications on the environment that a business may bring about. Workers’ compensation is also a factor to be considered. The company must be seen to be following its internal hiring regulations as stipulated in its worker’s manual. In case of laying off some of the employees, the company must ascertain that this is in line with the companies policies

Economic factors are also present in Kudler’s case. These are factors that involve the purchasing power of customers as inflation. Inflation is a general overview factor that affects the general economy (Michael, et al 89-92). At times of inflation, there is a general increase in the prices of goods.

The consumer purchasing power reduces therefore the general business strategy has to be changed. Kudler has grown over time therefore affected by both inflation and deflation. In its course of expansion, the company must consider the economic times, savings of the company must be of the essence as the company must remain afloat. Demand for products will also be affected by weather conditions. During summer, some food products are demanded more than others. Kudler as a firm in food processing must ensure that the food on offer corresponds to the weather in place

Social-cultural factors: these are factors that mainly concern the people who live around the company. The target age group that the company focuses on depends on the age, occupation, and interests of the target customers. Tourists normally come to enjoy themselves, their main dishes are junk foods, and children’s main dishes are often sugary, a consideration of these social factors would be essential in achieving the growth Kudler wants to achieve.

Kudler’s executive team must ensure that as they consider the different strategies, legal aspects and their implications are considered. if the company decides to lay off workers, it must ensure that this is in line with the government laid down procedures as relates to payment of employees dues.laying off workers may also have a negative impact on customers and creditors of the company. Many may view the company as going under or as the company is experiencing management problems.

This is because the workers are likely to go on strikes. Kudler has no main target group as such the company must focus on producing food products that suit all social groups, the company must also ensure that the tastes and preferences of the different age groups are met. Kudler has adopted technology as a major strategy employed to ensure the competitive advantage of the company. It must also ensure that this as a strategy is kept and emerging trends in technology are taken into consideration. The internal environment of a company mainly focuses on the management practices in relation to employees, company mission, and vision of customers’ view on the company among other issues.

Kudler has consistently been able to satisfy its customers. This is because the food products of the company are affordable and conveniently found. The company has also embarked on providing high-quality food products as a way of sales promotion. This has formed a part of the organizational culture for the company. The leadership style adopted is consistent with the company’s overall objectives. There is a workers handbook which has enabled solve the different worker’s issues. The government has also provided guidelines as to how the company can hire and fire. Kudler has so far been able to avoid lawsuits in regard to workers’ compensation. The companies core beliefs are specially considered as a failure to do so, may lead to loss of customers due to negative attitude on company’s products.

The strategy adopted by Kudler may be said to have created value because: by remaining afloat, strategic leadership, satisfied workers and advancing in technology the company is able to increase its sales. Following legal aspects of a country has also helped the company to avoid spending in law suits. Management style adopted provides an insight to its ability to maintain success as change is experienced. These aspects have ensured that outflows have been minimized and inflows maximized something that has contributed value for the company.


Barney. J. (2006) Gaining and Sustaining Competitive Advantage 3rd Edition, Prentice Hall publishers.

Michael A.H. (2010) Strategic Management: Concepts and Cases: Competitiveness and Globalization 9 edition, New York, South-Western College Publisher.

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