Best Cost Provider Strategy

Of the five generic competitive strategies, I feel that Kroger is using the best cost provider strategy.  This strategy aims at giving customers more value for the money.  As stated in the textbook, the key is to deliver superior value to buyers by satisfying their expectations on key qualities/features/performance/service attributes and beating customers expectations on price.  Kroger achieves best cost status from its ability to incorporate attractive or upscale attributes at a lower cost than their rivals, such as Wal-Mart.  Customers of Kroger know that the prices at Kroger might not be as low as Wal-Mart, but Kroger believes that it offers customers a better value for their money by providing a better shopping experience and a better selection of grocery items.  Kroger's Customer 1st strategy reflects this best cost provider strategy.  The strategy focuses on four keys areas of Kroger: employees, prices, products and services, and the overall shopping experience.  Kroger believes that focusing on these four areas will keep its customers returning.