Professional Documents
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Zingerman's Delicatessen, Ann Arbor, Michigan
Zingerman's Delicatessen, Ann Arbor, Michigan
2. What are the growth options considered, and what growth options can be considered in the
future?
3. Why did it not consider the conventional growth model adopted by similar companies? What are
the challenges in both the growth models? How do you make both growth models sustainable? How
would both the business models deal with imitation?
6. Watch the videos on Zingerman, Katz, Dean & Deluca, and Trader's Joe shared below. How do you
think each of these Delicatessen differ from each other?
Have created a food Philosophy that’s becoming almost a way of life for a lot of people
People come all over the world for training seminars on leadership and business
Service outstanding
WORTH THE PRICE FOR 2 REASONS: Michigan’s made is totally worth the price, real food for real
people
The delicatessen offers many varieties of cheese, bread, coffee, tea. Also, prepared
sandwiches and deserts. A mini-markets provides snacks for travelers. The outdoor tables
and chairs provides a place to pause. With the friendly staffs and the delicious foods, the
Zingerman is a destination in Ann Arbor.
GREAT FOOD, GREAT SERVICE, GREAT FINANCE, GETTING BACK TO THE COMMUNITY,
BASED ON THE LOVE OF FOOD AND SERVICE, LIFE KEEPS GNG BETTER AND BETTER
Lifestyle of connecting with people, resources to thrive, good pay, recognition and respect,
Have and environment where people grow and flourish, give the tools they need in order to do
their jobs,treat people like adults,
Not top down approach for management, they keep asking boss that what can I do for you
and that’s really a feeling everyday
1. How has an organization run by illiterate women survived and succeeded since so many years?
Its story shows how an organisation can infuse Gandhian simplicity in all
its activities.
The vision of the organisation is to enable women to become selfreliant and self-confident
CORE VALUES
• Pledge to ensure that all get the fruits of labor and no harm is caused to the Institution.
• Synthesis of 3 different concepts: -The concept of business i.e Production of quality goods at
reasonable prices.
-The concept of family i.e. Mutual family affection, concern and trust.
2. What kind of values and culture has binded the members of the organization?
The organization also attached a great deal of importance to supervising the living conditions of the
members in their homes and their health
Sticking to its core values for the past forty years, Lijjat has ensured that
every process runs smoothly, members earn a comfortable profit, agents get
their due share, consumers get the assurance of quality at a good price, and
society benefits from its donations to various causes.
Provides self employment, dignity of labor and earning capacity for women.
• In contrast to other Indian women, the workers actually own Lizzat- collective ownership.
• The company is a cooperative that implements Mahatma Gandhi’s principles of ‘self-help’ and
‘trusteeship’.
3. What are the challenges the organization is in the midst of and what would be your suggestions to
deal with them?
They found that some of the raw material was being stolen. Then they checked the financial, raw
material and finished goods
The papads are prepared in different parts of india, the quality of water used usually varies, and so
can the quality of product.
Previously they din’t have to pay the sales tax, but as per the new norms detergent powder tax
The rolled papads are to be dried for a certain number of hours. This entire process is done in
bhagini’s homes. Therefore in monsoon when it rains it becomes diffcicult to dry the papads
outdoor. This now had to be moved to indoors. Which actually causes space constraints.So that is
why it din’t export in monsoons.
Suggestions- to hire an additional space during monsoon a central position near the dpots, with
kerosene lamps where the bhaginis can come and dry their papads. This will lead to higher
production which can be exported.
They din’t do direct selling to sell their products, they rely mainly on word of mouth which was
successful for papads but not for other products like detergents. Suggestion: They should adopt
direct selling as it involves low cost and it would definitely widen their reach and create more
awareness about their products.
They can even save on the margins that merchant exporters make, by appointing their own
distrubutors in the main countries and this will reduce cost and increase profit margin.
4. Do you foresee any challenges in sustaining the growth and profitability in future? How would you
suggest it overcomes them?
FACTORS OF SUCCESS:
1. Merge of ownership with membership has encouraged uniform and sustained organizational
growth.
2. The consistent quality of the product has been a primary factor in establishing and maintaining
lizzat’s brand in the market for many decades.
6. Lijjat encourages it’s members to give to others whatever they can , instead of expecting help
from others. Lijjat does not accept donations, which enhances members, self esteem and pride in
their own organization.
Lijjat can succeed in more products as well, like grounded spices, khakra, black pepper powdee,
detergent powder and cake, vadi, bakery products, wheat filthier can increase sales.
https://www.youtube.com/watch?v=CyeVzQu0dZo&index=3&list=PLiYVqRqexnHnTfUVghL8qkZ5FV-
RDByxU
https://www.youtube.com/watch?
v=vD5IMWrpAao&list=PLiYVqRqexnHnTfUVghL8qkZ5FV-RDByxU
https://www.youtube.com/watch?v=64H6HLZc2g0