Loading...

Messages

Proposals

Stuck in your homework and missing deadline? Get urgent help in $10/Page with 24 hours deadline

Get Urgent Writing Help In Your Essays, Assignments, Homeworks, Dissertation, Thesis Or Coursework & Achieve A+ Grades.

Privacy Guaranteed - 100% Plagiarism Free Writing - Free Turnitin Report - Professional And Experienced Writers - 24/7 Online Support

Whole foods organic food scandal

20/11/2021 Client: muhammad11 Deadline: 2 Day

Trimming Fat At Whole Foods Market

Internal Analysis:

Read the Mini case and As part of an internal analysis, give examples of how Whole Foods builds (or tries to build) competitive advantage through:

a. Quality

b. Efficiency

c. Innovation

d. Responsiveness to Customers

Give a couple of sentences for each. Pay close attention to the quality of your writing.

Trimming Fat at Whole Foods Market

WHEN FOUR YOUNG entrepreneurs opened a small natural-foods store in Austin, Texas, in 1980, they never imagined it would one day turn into an international supermarket chain with stores in the United States, Canada, and the United Kingdom. Some 35 years later, Whole Foods now has more than 420 stores, employs more than 90,000 people, and earned $15 billion in revenue in 2015. Its mission is to offer the finest natural and organic foods available, maintain the highest quality standards in the grocery industry, and remain firmly committed to sustainable agriculture.

Whole Foods differentiates itself from competitors by offering top-quality foods obtained through sustainable agriculture. This business strategy implies that Whole Foods focuses on increasing the perceived value created for customers, which allows it to charge a premium price. In addition to natural and organic foods, it also offers a wide variety of prepared foods and luxury food items, such as $400 bottles of wine. The decision to sell high-ticket items incurs higher costs for the company because such products require more expensive in-store displays and more highly skilled workers, and many fresh items are perishable and require high turnover. Moreover, sourcing natural and organic food is generally done locally, limiting any scale advantages. Taken together, these actions reduce efficiency and drive up costs. The rising cost structure erodes Whole Foods’ margin.

Given its unique strategic position as an upscale grocer offering natural, organic, and luxury food items, Whole Foods enjoyed a competitive advantage during the economic boom through early 2008. But as consumers became more budget-conscious in the wake of the deep recession in 2008–2009, the company’s performance deteriorated. Competitive intensity also increased markedly because basically every supermarket chain and other retailers now offer organic food. As a result, sales growth of existing Whole Foods stores (“same-store sales,” an important performance metric in the grocery business) has been declining between 2013 and 2015. To make matters worse, same-store sales growth is now close to zero. Overall, Whole Foods Market has sustained a competitive disadvantage, underperforming not only its competitors, but also the broader market by a wide margin (since 2014).

http://textflow.mheducation.com/figures/1259760545/rot20477_0452.jpg

© Simon Hayter/Toronto Star/Getty Images

To revitalize Whole Foods, co-founder and co-CEO John Mackey decided to “trim fat” on two fronts: First, the supermarket chain refocused on its mission to offer wholesome and healthy food options. In Mackey’s words, Whole Foods’ offerings had included “a bunch of junk,” including candy. Mackey is passionate about helping U.S. consumers overcome obesity in order to help reduce heart disease and diabetes. Given that, the new strategic intent at Whole Foods is to become the champion of healthy living not only by offering natural and organic food choices, but also by educating consumers with its new Healthy Eating initiative. Whole Foods Market now has “Take Action Centers” in every store to educate customers on many food-related topics such as genetic engineering, organic foods, pesticides, and sustainable agriculture.

Frank T. Rothaermel prepared this MiniCase from public sources. This MiniCase is developed for the purpose of class discussion. It is not intended to be used for any kind of endorsement, source of data, or depiction of efficient or inefficient management. All opinions expressed, all errors and omissions are entirely the author’s. Revised and updated: August 28, 2015. © Frank T. Rothaermel.

Page 453

Yet, a mislabeling “scandal” in New York—city officials found in 2015 that Whole Foods had mislabeled weights of several freshly packaged foods such as chicken tenders and vegetable platters, leading to overcharges of up to $15 an item—reinforced the public’s image of Whole Foods as overpriced. Mackey made a video apology and said that this was an unfortunate but isolated incident caused by inadvertent errors of local employees. He also emphasized that the problems were found in only nine out of 425 stores.

Second, Whole Foods is trimming fat by reducing costs. To attract more customers who buy groceries for an entire family or group, Whole Foods now offers volume discounts to compete with Costco, the most successful membership chain in the United States. Whole Foods also expanded its private-label product line, which now includes thousands of products at lower prices. Whole Foods also launched a new store format, “365 by Whole Foods Market,” based on its “365 Everyday Value” private label. The 365 stores focus exclusively on Whole Foods’ discount private labels, primarily to address the rise of discount competitor Trader Joe’s. The risk, however, is that this strategic initiative will cannibalize demand from the higher-end Whole Foods Markets, rather than taking away customers from Trader Joe’s.

To offer its private-label line and volume-discount packages, Whole Foods is beginning to rely more on low-cost suppliers and is improving its logistics system to cover larger geographic areas more efficiently. It still plans to grow threefold in the future and believes that the United States can profitably support some 1,200 Whole Foods stores. Larger scale and more efficient logistics and operations should allow the company to drive down its cost structure. It remains to be seen if Whole Foods can strengthen its economic value creation (V—C) to yet again gain and sustain a competitive advantage.

Homework is Completed By:

Writer Writer Name Amount Client Comments & Rating
Instant Homework Helper

ONLINE

Instant Homework Helper

$36

She helped me in last minute in a very reasonable price. She is a lifesaver, I got A+ grade in my homework, I will surely hire her again for my next assignments, Thumbs Up!

Order & Get This Solution Within 3 Hours in $25/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 3 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 6 Hours in $20/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 6 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

Order & Get This Solution Within 12 Hours in $15/Page

Custom Original Solution And Get A+ Grades

  • 100% Plagiarism Free
  • Proper APA/MLA/Harvard Referencing
  • Delivery in 12 Hours After Placing Order
  • Free Turnitin Report
  • Unlimited Revisions
  • Privacy Guaranteed

6 writers have sent their proposals to do this homework:

Academic Master
Quick Mentor
Instant Assignment Writer
Top Grade Essay
Exam Attempter
WRITING LAND
Writer Writer Name Offer Chat
Academic Master

ONLINE

Academic Master

I am an elite class writer with more than 6 years of experience as an academic writer. I will provide you the 100 percent original and plagiarism-free content.

$42 Chat With Writer
Quick Mentor

ONLINE

Quick Mentor

I have read your project description carefully and you will get plagiarism free writing according to your requirements. Thank You

$19 Chat With Writer
Instant Assignment Writer

ONLINE

Instant Assignment Writer

I am an elite class writer with more than 6 years of experience as an academic writer. I will provide you the 100 percent original and plagiarism-free content.

$22 Chat With Writer
Top Grade Essay

ONLINE

Top Grade Essay

Being a Ph.D. in the Business field, I have been doing academic writing for the past 7 years and have a good command over writing research papers, essay, dissertations and all kinds of academic writing and proofreading.

$32 Chat With Writer
Exam Attempter

ONLINE

Exam Attempter

I have done dissertations, thesis, reports related to these topics, and I cover all the CHAPTERS accordingly and provide proper updates on the project.

$50 Chat With Writer
WRITING LAND

ONLINE

WRITING LAND

As per my knowledge I can assist you in writing a perfect Planning, Marketing Research, Business Pitches, Business Proposals, Business Feasibility Reports and Content within your given deadline and budget.

$24 Chat With Writer

Let our expert academic writers to help you in achieving a+ grades in your homework, assignment, quiz or exam.

Similar Homework Questions

An ess is an information system that supports the - Godaddy who is lookup - Which of the following is not a cost classification - I ain t crashing bout no ho song - RESPONSE 3 - Bioethics-324 - Mgp10 rafter span tables australia - Which of the following function prototypes is valid - Business combination sample problems - English - Krok 2 exam ukraine - Examples of comparison essay thesis statements - Gender and Society - Vce art past exams - Convert pcap to netflow - Ted bundy height weight - Starbucks case analysis strategy - Armstrong and miller show series 4 - Cosmic ferro alloys ltd credit rating - 25 oakhill road west pearcedale - Tennant street surgery stockton on tees - Using props plots and roles in play is characteristic of - Vmware tools heartbeat failure - Her three days short story - Gale force surfing case study answers - Bruno from the boy in the striped pajamas description - Evidence-Based Practice in CDS and Quality Improvement - Whatever happened to crazy eddie - Zara fast fashion from savvy systems - Palamon capital partners case study - Dolgoff ethical decision making screen - What was tintoretto's painting goal in the last supper - 57 burrendah road jindalee - Wk 2 - English for further study - Early buddhist discourses pdf - Hex paper 5 hexes per inch - What is directly proportional - How to write a research paper ppt - The sun - American optical corporation provides a variety of share based - L dee fink significant learning - Global healthcare comparison - Product of sums from k map - Can apple cider vinegar cure trichomoniasis - Everyone needs forgiveness the kindness of a savior - Animal research project for kids - Order 2296834: Court - 2page Of Essay - How to cite umuc course material - Biology - I need this homework done - Cmit 425 risk assessment paper - How much is 1.5 kg in grams - Managerial economics - Airline passengers arrive randomly and independently - Biology for year 8 - Patch adams leadership - Philosophy101 - Cation exchange capacity formula - Blade runner tears in the rain quote - Competitive advantage of tim hortons - Part time fee grant - Picot statement and literature search gcu - How to know if two angles are coterminal - Google reacts case study - What is stride threat model - How to prepare for viva - Jonathan valin listening room - Chapter 6 chemical bonding multiple choice test - Media ethics issues and cases ninth edition - Efe matrix of coca cola - 48.8 kg to stone - If i ran the circus activities - Vsp vision insurance uw madison - The risk per unit of return is measured by the - Discussion 09/28 - Constructivist approach to teaching ppt - Money market instruments include all of the following except - Click stream analysis ppt - Essay - Challenges faced by industrial training schemes for workers - Essay - Menopause the musical titusville playhouse inc february 5 - 2 pages - How many electrons are in a neutral beryllium atom - When applying the lower of cost or market rule - Evey character analysis v for vendetta - Evaluate paper - Continuous auditing and continuous monitoring - Internal shear force and bending moment - Stat transfer 14 license key - Periodic inventory by three methods example - Camp lejeune education center phone number - Owner builder insurance requirements nsw - Lawrie voutier demolition shop - In order for john to hear jill air molecules - Hlthir403c work effectively with culturally diverse clients and co workers - Family mosaic mutual exchange - Ethics, Law and Cybersecurity