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Case study: Whole Foods Market

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  1. Introduction
  2. SWOT Analysis
  3. PEST Analysis
  4. Strategy in Whole Foods Market
  5. Strategic Challenge for the company
    1. Alternatives
    2. Descriptive alternatives analysis
    3. Decision grid
    4. Recommendation
  6. Plan for implementation
  7. Contingency plan

Founded in 1980 in Austin Texas, Whole Foods is a supermarket focused in health, natural and organic products all across the United States.

First consolidated as a small local store with 19 workers, presently Whole Foods has outlets in 36 states in the US and other countries such as Canada and Great Britain; many of which are located in metropolitan cities.

This was possible because the percentage of people following a healthier lifestyle is growing faster, and the clients of the company are willing to pay for a better quality, no matter the price, and also this is why the profits are higher. All the items ?Whole Foods? are organic and there are several kinds of products like in any other supermarket, but this company is focused in making the difference offering organic products with the best quality for a high level market.

There are about 600 work teams in Whole Foods empowered to make decisions, motivated and identified with the Company's mission and motto ?Whole Foods, Whole people, whole planet?. This philosophy is a reflection of the firm's strategy, making the team members feel content, which reflects in the way they do their job.

However, there are threats, and one for Whole Foods is the competitors, such as big supermarket chains and smaller shops who have tried to copy their products but trying to keep cheaper prices.

As the company's main target is either people of high economic status or highly committed to environment and health care, Whole Foods has managed to overcome recessions in economy without suffering so much.

[...] Providing stores in small towns in the US with organic products so as to make people aware of what it is all about Descriptive alternatives analysis Whole Foods only spends about of its revenues on advertising, focusing its marketing campaign primarily in word-of-mouth recommendations and customer's experience. Even though this has been the company's long term policy, in order to keep up with the expected growth rate in the future, they may need to allocate at least of its revenues to the marketing campaign budget. [...]

[...] Analysis 4.0 PEST Analysis Opportunities Threats Political Labeling Government is standards by the willing to US Department of protect and agriculture in supervise this of the benefits it offers to people and environment. food could be growth number of sold in potential. competitors. traditional supermarkets. Higher prices Higher prices of can slow down Organic products. consumption. Organic food total US retail sale. Social Increase of New values which consumer's demand permit the annually. development of Increase of this sector. consumer's concerns about health and safety of food. [...]

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