Giant Eagle hopes to sweep supermarket industry with first Indiana location

The Indianapolis grocery store market is about to become a little more crowded.

Giant Eagle has announced plans to open the first of six locations, a 125,000-square-foot store, in Carmel, Indiana. This will be the chain's first Indiana location, 95 years after being founded.

Giant Eagle, the 21-largest North American supermarket, is based out of Pittsburgh. While it may be new to Indiana. it already has more than 200 locations across Pennsylvania, West Virginia, Maryland and Ohio.

"Giant Eagle Inc. continually evaluates opportunities to bring our world-class shopping experiences to new customers with a focus on providing fresh foods, value and convenience," according to a statement from the grocery chain.

David J. Livingston, a supermarket analyst, told the Journal that he was skeptical of Giant Eagle's plans to expand into the central Indiana market.

"Indianapolis is a highly competitive market," he said. "And it's not like Indianapolis is some huge growth market."

Giant Eagle's move into Indiana isn't its only current growth opportunity. The supermarket chain has announced plans to expand further into the specialty pharmacy market. Earlier this month, it acquired Rx21 Specialty Pharmacy, a Cleveland-based provider of prescription drugs used by those with organ transplants and hepatitis C.

Any time a company expands either its reach or service offerings, it risks exposing itself to the problems that always arise during the scaling process. If a company doesn't have a business management software system in place, like Microsoft Dynamics NAV, these problems are more likely to become pervasive with each new location that is opened.