Dollar General (A) Harvard Case Solution & Analysis

Dollar General Corporation (DG) operates one of the leading retailers of extreme values ​​in the United States. 2006 revenues reached $ 9.2 billion, DG 6th largest retail supply in the country. With revenues growing at 9% per year over the five year period up to 2005, DG had the honor of being one of only three retailers to beat Wal-Mart in both revenue and profit growth at the time. Life in the Dollar General store paints a vivid picture of the historical roots and direction of the company. Opportunistic buying gave shops eclectic mix of goods. Analysts often refer to this category as "treasure hunt" SKU. Offers the opportunity to explore the business model of the company, especially with DG was so successful competition with Wal-Mart, where so many other retailers do not have. While it began as a family business in the five-and-cents tradition, it has grown into the largest of the retail model, one of its low cost operations were profitable. As he added highly consumable categories shifted its mix, but he managed to maintain its low-cost model. Interestingly, the combination of the shift was probably due to the more extreme policies store operations level than the top-down oriented strategy. Framework of growth options available to the Director General of DG, when faced with how to support growth. "Hide
by Willy Shih, Stephen P. Kaufman, Rebecca McKillican Source: Harvard Business School 32 pages. Publication Date: May 31, 2007. Prod. #: 607140-PDF-ENG

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