ASSIGNMENT 3 ( THE ASSIGNMENT IS ABOUT THE COMPANY...CUB FOODS)

Assignment 3 ( The assignment is about the company...Cub Foods)



Assignment 3 ( The assignment is about the company...Cub Foods)

Introduction

Conclusion

Consumer Behavior

[Name of the student]

[Name of the Institute]

Consumer Behavior

Introduction

The aim of the paper is to extricate the marketing tactics of the largest food retailing company of the US located at Eden Prairie, Minnesota, that is Cub Foods. The paper attempts to discuss in details what marketing strategies Cub Foods follows in order to increase the profitability of the purchases. It discusses the marketing tactics such as product positioning, store location and other customer retaining strategies. In addition to it, the paper attempts to highlight the key steps that the Cub Foods take into account to promote the extensiveness of its sales per customer per store. Further, the paper attempts to enlighten the issues that may cause customer switching. The paper discusses the reasons for the customer denials to shop from the Cub Foods stores. The paper highlights the quality issues regarding the food products available at the stores of the cub foods. In addition to it, the paper also highlights the impact of the behavior of the management of the store on the decision of the customer regarding the shopping from the Cub Foods stores (Andreassen, 1998).

Discussion

The aim of the paper is to discuss the marketing scenario of the Cub Foods. Cud food is basically a super market chain owned by brothers Charles and Jack Hooley and their brother in law Robert Thueson in 1968. Cub is an acronym for Consumer United for Buying. The company is basically an Eden Prairie, Minnesota based Super Valu Inc. it has 73 stores in Minnesota and Illinois. Super Valu is basically the third largest food retailing company in the US. It is ranked as 75# with $37,534.0 Revenues and $ -1,510.0 profits on the Fortune 500 list, 2012 (Andreassen, 1998).

In 1955, Cub Foods had a joint venture with Mike Lofino, a local grocer, in the Dayton Ohio. In this market there were four operating stores under the banner of the Cub Foods. Later in 2007, the Hubber heights, Ohio location closed on the September 30th. Moreover, Cub Foods had crucial effects from Albertsosns merger. Super Valu divested its Cub Foods location in Chicago area to Cerberus Capital Management. The Cub Foods was divested by Cerberus Capital Management is basically, an investment group, to mitigate the market issue pertaining to the market concentration. Similarly, Cerberus announced the selling of various stores in Illinois to other operators. As of June 2009, Super Valu owned the only two left stores of Cub Foods, one on Peoria and the other in Freeport.

Cub Foods is one of the most famous total discount food stores in the United States. The Cub Food facilitates its customer to enjoy top quality name branded products as the lowest possible prices. It provides the complete range of high quality food products including meats, seafood as well as baked food products in addition to the ...