Warehouse Clubs
Although PriceCostco is the number two
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Although PriceCostco is the number two warehouse club chain on a nationwide basis, the company is number three in the Boston Metropolitan Area. Attempts by PriceCostco to improve the company's market penetration in the Boston Metropolitan area must address both the issues that have placed the chain number three in the Massachusetts market, and the slowing growth and weakening sales that characterize the warehouse club industry.Two specific research questions are addressed in this research. These research questions are as follows: 1. What factors are contributing to the inability of PriceCostco to achieve greater penetration in the warehouse club market in the Boston Metropolitan Area? 2. What actions by PriceCostco will enable the firm to achieve a greater market penetration in the warehouse club market in the Boston Metropolitan Area? It was hypothesized that the factors contributing to PriceCostco's market penetration problems were consumer concerns over price levels, membership fee levels, and product quality. The market research performed as a part of this study supported this hypothesis. It was hypothesized that actions that would enable PriceCostco to gain a greater market penetration in the Boston Metropolitan Area would be found to be aggressive pricing strategies, reduced membership fees, and an increased emphasis on fresh food products. The market research performed as a part of this study supported this hypothesis.
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roduct's perceived performance. Consumers form expectations on the basis of messages and claims made about the product. The level of consumer dissatisfaction, thus, is the product of the difference between expectations and performance.
Customer satisfaction and marketing communications are interrelated. In the past, communications channels between vendors and retailers has often been ineffective. Substandard marketing communications have frequently worked to the disadvantage of consumers who either could not get the product they wanted when they wanted it or had to pay more for a product than should have been necessary. Innovation in information systems technology is changing this situation rapidly. The quick response concept is an information system network that connects vendors and retailers. A continuous stream of information between vendor and retailer enables both entities to provide superior customer service, and permits the development of efficiencies in production management, inventory management, and shipping. The quick response concept is widely regarded as the key to growth for marketing organizations in the mid and late1990s and perhaps beyond. Approximately 40 percent of all retailers have implemented qui
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Some common words found in the essay are:
Boston Metropolitan, Publicity Publicity, Procedure Responses, Sam's Club, Advertising Advertising, Reserve Board, Wholesale Club, Los Angeles, VI Limitations, Club PriceCostco, boston metropolitan, warehouse club, sam's club, sales promotion, market penetration, quick response, research questions, wholesale club, food products, marketing communications, bj's wholesale club, warehouse club market, market boston metropolitan, club market boston, penetration warehouse club,
Approximate Word count = 3410
Approximate Pages = 14 (250 words per page)
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