Custom «Trade Joe’s» Essay Paper Sample

Trade Joe’s

Trade Joe’s is a private enterprise which is a grocery store selling natural, healthy food and beverages. The enterprise started its operations in the year 1958 under the sponsorship of Joe Coulombe. The company’s headquarter is located in California but the operation of the store is widely spread in twenty five states. In 1979, Karl and Theo Albrecht who are rich entrepreneurs from Germany purchased the business, though the name of the business remained (Len, 2005). The main competitors of Joe’s trade include Wild Oats and whole food, while other large stores such as Hannaford, Roche Bros, and Whole Foods finds it challenging to compete with this store.

The company does not establish service departments, while on average it occupies a ten to fifteen thousand squire feet. On the other hand, the company deals with more than two thousand privately labeled products, which include beverages, soups, snacks, and frozen products. These privately supplied products constitute about seventy percent of the total revenue of the company. The space efficiency of Joe Trade, according to trade analysis, is about twice that of its competitors (Len, 2005). The sales of the company for the last few years is about eight billion US dollars. This is far much higher than sales of competitors such as Beth Bath and Beyond.

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In the grocery industry, Joe’s Trade is one of the outstanding players particularly in the United States of American market. In the year 2009, the Supermarket News estimated that the enterprise was number twenty one of all the retail outlets in terms of sales and growth. In the same year, Consumer Reports place Joe’s Trade as number two most preferred and effective retail outlet behind Wegmans. Ethisphere Magazine ranks Trader Joe’s as the most ethical enterprise in the United States for three consecutive years, including 2008, 2009 and 2010.

The grocery is one of the fastest growing enterprises in United States of America. The store started as a single shop in Parkway in California. It first expanded the space twice in the attempt to accommodate more customers. In the year 1967, the company had several sandwich shops, cheese and orange juice. In 1987, the enterprise expanded its operations to Arizona, while, in the year 1993, the door of the outlet opened in Pacific Northwest. The trade continues and up to date the company operates in thirty one states including East Coast, Brookline, Washington and Cambridge among others. In October, this year, Trade Joe’s hit the three hundred and sixty five stores fully operational in the United States of American. The network was named one of the best in the grocery outlet business (Michael, Duane & Robert, 2007).

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Trade Joe’s have five main advantages over the competitors in the grocery industry in United States of America. This includes the price, quality products, healthy food, distribution network, and enthusiastic staff. The consumers enjoy about twenty five percent cheaper products from the Trade Joe’s stores than other competitor’s prices. The secret of the cheap prices is not known, as the company management remains silent on how they achieve it.

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