Whole Foods Market Business Analysis

Sales engage doubled since then and 66% of the British adults now consume organic provender for thought and drinks. Their weakness Is the fact they befoolnt expanded Into the spherical marketplace except for Canada and the ASK. There has similarly been several recalls on brands purchased by the company. The opportunities come out of the closet to be significant In this retail market. There Is an Increasing desire for organic, level-headed products which bodes well for the success of opening raw-fashioned stores. The threat is competition as the solicit grows and more stringent regulation. Rental increases is alike a concern.In making a end on whether to invest in consentaneous Foods Market, the welfargon and films of the internal and orthogonal stakeholders need to be considered. Growth depends on Bonds and Stockholders. The company must show coherent growth in order to be commensurate to have available get outlets. The engagementees are instrumental in retenti on the customer feel wanted and meet with their shopping. The surrounding community wants to feel matched with undivided Foods facilities, products and service. And the distributors supplying the companys product need to know there Is a loading from their customers.Whole Foods Market is a unique, organic provender and natural product supermarket cosmic string regain in the US, Canada and ASK. As a exclusively owned subsidiary, they are headquartered in Austin, Texas and employ approximately 64,200 people 13,300 are irregular and 2,700 temporary employees (Denominator, 2012, p. 4). They have an increase in revenue in 2011 from the previous class of 12. 2%, an increase of 25% in operating cabbage and net profit increase of 42%. (Event outline of IQ , 2012 Whole Foods Market hire, 2012).These figures are significant in recognizing the companys success in recovering from the recession which eruption them In 2008. Presently, the organic fare market Is fragmented with many small mama and pops which presents many opportunities for growth by Whole Foods. Fred Meyer, a discount chain, carries an Increasing vagabond of organic foods, but not the feel and quantity of their high end competitor. The companys potential is in its focused growth plan. The new store openings has enabled it to grow at a compounded and annual growth stray of 26% during 1991-2011. Denominator, 2012, p. 6). They have formalized their strong footage for new and renovated stores by past abbreviation of their successes and allures. The expansion into the I-J market, in particular the 2007 learnedness of 80,000 square feet in London could be a major step into a market outside of the US. Sales have doubled and 66% of the British open consumes organic food and drink. (Live Business News, 2012, p. 3) Their weaknesses stick in lack of expansion into world-wide operations, product recall of certain brands, and increase rental costs.Recalls are an issue. They have had to pass Whol e Foods Market Dairy stop bakery products because it contained milk which was not on the label. Texas had to call cheddar cheese products because of an e-coli contaminant and there was a possible Salmonella pollution for the Whole Foods, Carob Energy Nuggets in 2009. They have not been able to successfully expand into markets other than a hardly a(prenominal) stores in Canada and the I-J. They have not been able to obtain competitive prices from their distributors for these stores because of the low volume.Whole Foods similarly has a weak advertising calculate and relies heavily on Internet and reciprocation of mouth, a disadvantage when their competitors advertising strategies are expanded into other markets. (Live Business News, 2012, p. 7) Leases for plaza and equipment have increased significantly from 4. 8 million in 2004 to 201 million in 2007. Future growth could be impacted. The increase demand for organic foods and the new acclivitous life styles of the American pu blic show up as great opportunities for Whole Foods Market. accord to industry estimates, the sales of organic food increased three fold since 2000 to go across $28. Billion in 2010 (Denominator, 2012 p. 7) With this increase in sales, the company is still the only chain catering and available to this market. They are continually expanding their product base to include much(prenominal) foods for customers with facial dietary needs. The trend of the American family is moving towards eating at headquarters and eating healthy. Competition in the food retailing market is intense. Currently, Whole Foods does not experience significant competition in the organic food, natural products, and vitamin supplement area. But, as the demand and desire grow, so depart the competition.