The shortage of time for many consumers may also reduce foot traffic at Whole Foods: consumers who used to stop at Whole Foods for specialty items but do the bulk of their shopping at a mainstream supermarket may eliminate their trip to Whole Foods, if they are working longer hours to make more money. Time-pressed consumers may also have less time to linger while shopping.
To some extent, by offering only organic foods, there is a limit to how much Whole Foods can reduce its prices: because of the nature of organic food, it costs more to produce than food produced by more conventional methods: it is more labor-intensive. Thus, there may be an intrinsic barrier to how much Whole Foods can compete, given that it cannot offer organic produce at a discount, but make a profit off of less healthy items. It may be limited to only expanding into relatively affluent or boutique areas. It cannot really compete upon price with its mainstream competitors, unless it was to radically change its image and offer non-organic, cheaper foods.
Opportunities
In addition to organic foods, Whole Foods offers a variety of natural international foods and gluten-free and allergen-free foods, the latter of which can be difficult to find in many areas of the country, despite the increase of celiac disease and food allergies.
Consumers wishing to eat more healthfully often do not have time to cook, given the demands of modern life: Whole Foods offers organic prepared meals, as well as basic ingredients, unlike some of its mainstream competitors. Its selection of ingredients is also much larger. For example, a health-conscious...
Threat of New Entry: Beginning a food business of any kind is difficult. This is one possible plus for Whole Foods. There is a great deal of red tape about sanitation and hygiene, when dealing with food preparation and sales. The requirements and regulations regarding organic products are even more onerous. SWOT Strengths Whole Foods is a long-standing and trusted brand name in organic produce. Consumers who believe in the organic movement have long
True, the company has a highly cohesive ethic, regarding the environmentally friendly and ethically produced nature of its products. However, one problem that a supermarket chain will inevitably run across is that different areas of the nation have different tastes. This is why allowing self-governance is so important on a store-by-store basis for this chain. A Whole Foods in New York City might have more convenience vegan food, for
Whole Foods Market The term whole food entails organic and natural food that gives customers opportunity to have ample range of products. Natural food refers to type of foods that are not having antibiotics or growth hormones. Organic are food that match to the standards that was defined in October 2002 by the U.S. Agriculture Department. Whole Foods Market became the leading retailer of organic and natural food in the world,
The analysis of the weaknesses and threats are based on an analysis of the companies' filings with the Securities and Exchange Commission (SEC), specifically their annual reports, 10Qs and periodic filings of business activity. Table 2: While Foods SWOT Analysis Strengths: Continued revenue growth despite a challenging economy Well-executed growth strategy domestically in the U.S. And globally Strong growth in brand equity and value as a trusted advisor in organic foods Strength in acquiring and
Strategic Review Whole Foods Market is one of the top retail stores dealing with organic and natural foods in the United States. The company operates and owns a chain of organic and natural foods supermarkets across the United States and Canada. In essence, the company has been able to reach large number of customer by operating through several subsidiaries, and Whole Foods is the first company in the United States to
1. Introduction Whole Food Market Inc. (WFM) is one of America’s largest food products supermarket chain. The company refers to itself as “America’s healthiest grocery store” and submits that its food products are “the finest natural and organic foods available” (WFM, 2017). The foods the company stocks are largely devoid of hydrogenated fats, artificial preservatives, sweeteners, and flavors. 2. Current Strategic Position 2.1 Mission, Vision, and Values The company’s culture is founded on eight
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