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Ne w Business Design     57


              frequent visits. Adding gas retailing would certainly be con-
              sistent with Wawa’s mission to “make customers’ lives easier.”
                 But things did not go at all as planned. Wawa failed to rec-
              ognize how different gas retailing was from retailing high-qual-
              ity prepared foods. More important, Wawa encountered a more
              fundamental mismatch with its core service-oriented culture. In
              1984, Wawa shuttered 34 integrated gasoline–convenience store
              locations, despite the fact that the venture had enhanced rev-
              enues at the pilot locations.
                 Ten years later, in 1994, then-CEO and fourth-generation
              owner Richard “Dick” Wood was again seeking significant
              organic growth and looked anew at gasoline retailing. Fortu-
              nately for Wawa, most gasoline retailers had not been very good
              convenience store retailers. Still, companies have long memories
              for failure. After a decade, gasoline was still considered anath-
              ema to “being Wawa.” There were numerous reasons why gas
              retailing, with its operational complexities, might not be com-
              patible with Wawa’s high-touch, superior customer experience.
                 Wood started by leveraging outside expertise. He had
              served for some time on the board of QuikTrip, a convenience
              store chain with a strong presence in the southern United
              States, and he had a strong relationship with QuikTrip’s CEO,
              Chester Cadieux. QuikTrip had successfully combined supe-
              rior gasoline retailing with convenience store offerings.
              Cadieux, in turn, provided Wood with QuikTrip’s detailed
              business plans, financials, and the process details necessary to
              run an integrated gasoline and convenience offering. Wood
              appointed Jim Bluebello to lead the program, with a small team
              in a stand-alone unit. Creating the separate unit contained costs
              in case of failure and protected the gas team from institutional
              resistance from the core business. But Bluebello still required
              support from the rest of Wawa to succeed—the capabilities in
              convenience retailing, operating processes, and service excel-
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