Question

1. How much of Trader Joe’s success can be attributed to the fact that most larger chain grocery stores do not sell the type of food available at Trader Joe’s?

2. Is pay enough of an incentive to continue at a job you do not enjoy?

3. How does Trader Koes help employees fulfill the needs in Maslow Hierarachy?

4. Trader Joe’s promotes entirely from within the organization. This means that if you are a good, dedicated worker, you can rise up within the company. Do you feel employees would be as dedicated to the company if this were not the case? Would high pay be enough to keep employees? What if the company only promoted from within but the pay was not as good?

Answer 1

1) Trader joe sell about only 5000 item as compared to 50000 and more by other large chains but joe compete with the big guns due to speciality of product. 80% of its product is from its private label that is cheaper than big brands with almost same efficacy. Other store may have similar items but not exactly as joe because joe keeps it secret what he is selling . He sells 80% item in own company brand . Moreover he keep very less variety , thus need large volume of item kept . This provides economy of scale and he sells same item cheaper from other who has to keep many vatietyvthus smaller volume of many varieties.

2) It depends on I dividually , where he is situated on need heirarchyh If basic needs are not fulfilled the. One can co time otherwise nobody can continue a job that he does not like just for salary.

3) Joe provides high salary thus fulfill basic needs. Provides medical facility and retirement plan by contributing 10% thus ensuring safety needs. Provides oppurtunity to travel around the world to try food and explore thus fulfilling higher order needs. Further he provides great promotional aspect based on performance that also help fulfilling growth need of employees.

4) No. If one does not have growth oppurtunity , he will not be dedicated and look for a better plays. Growth needs are important part of individual. Pay is necessary but not sufficient to keep employees dedicated and efficient . If salary would have been low while growth prospect was there , then also people would have choosen to stay .