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Trader’s Joe’s Case Study

Trader Joe’s is a company that has the recipe for success. Trader Joe’s is a remarkable company that is unique in their own way. They are no rookie when it comes to treating their staff like VIP’s and it reflects on how they conduct business with a flair. They are known to many consumers as a neighborhood health store with limited quality products. They keep a tight selection on purpose in fear of confusing their loyal customers with too many options. Quality is expected the customers that trust Trader Joe’s for years.

Trader Joe’s perfect image has been tainted by a few problems recently. Customers felt betrayed by the reports about their eco-friendly company selling too many endangered fish on the red list. Another problem that makes customers uneasy is not knowing where Trader Joe’s private label comes from. Trader Joe’s prides itself in being a cost efficient company that saves every penny. That would mean that they save on products that they purchase to sell. The quality of their private label is questionable but their staff is over compensated for providing good customer service.

What is Trader Joe’s motive for treating their staff like royalty and cheating quality for their valued customers? Trader Joe’s should value their loyal customers like they do their staff. The Organizational Behavior theories that are relevant to these problems are amoral management, value chain and human capital. Trader Joe’s is considered to me, to be under amoral management. According to the text, amoral management is failing to consider the ethics of a decision or behavior ( Organizational Behavior, 11th edition, p. 18).

Trader Joe’s may not have intentionally intend to sell the fish on the red list but they didn’t exactly consider not to either. The value chain is a sequence of activities that creates valued goods and services for customers (Organizational Behavior, 11th edition, p. 11). Trader Joe’s value chain has been affected with current allegations which leaves customers weary about the real value in the products of Trader Joe’s. Trader Joe’s. Trader Joe’s understands the importance of human capital because they made sure that they instilled high job satisfaction to their staff to promote high job performance.

A general solution for Trader Joe’s problem would be for them to try being more transparent. They have loyal customers that wants to be assured that Trade Joe’s is who the claim to be; a eco- friendly health food store. They need to follow through with their promise to remove all the fish from the red list by 2012. They can regain the trust of many consumers by revealing their source of their private label products. Trader Joe’s will always be criticized if they don’t value the concerns of their customers.