Whole Food Market
Essay Preview: Whole Food Market
Report this essay
1. What about related products?
The WFM points out the importance of the healthy life and they produce their products accordingly this principal. In the shops we can find “natural products” such as “certificated organic foods”. These things were unexampled when the first WFM was opened and today also.
Natural means those products which are free from any kind of growth hormones and antibiotics. And what does organic means? According to the WFM those products which are made by this process are use renewable resources and the conservation of soil and utilize water to be environmental friendly. They try to promote this healthy and eco-friendly system. The management thinks they should use genetically engineered seeds to make crops for example. The quality standards are very high in case of the Whole Foods products:
-Foods should be free from any additives and representatives
-Foods always have to be fresh and safe to eat
-They believe that the organically grown foods are the best
– The foods should promote the healthy life because this is the main principal of the store
In case of the meats they have also very important and strict rules.
-There cannot be any antibiotics or added hormones in the meat and the poultry products
-They believes in that if the animals lives happily the meat will be tastier so they try to make a comfortable environment for their animals
-Producers should make an annual inspection by the WFM
The WFM is in connection with the Global Animal Partnership. It is a non-profit organization which follows the 5-step Animal Welfare Rating Standards. It means that:
1, the animals live their lives in a place where they have enough space to move
2, they live in a natural environment
3, pigs, chickens and turkeys should live in buildings where all of them have an own access to outdoor areas
4, these places are pasture centered
5, finally, the well-being or the animals should be the owners primary focus
Dont forget about other services, for example the vegetarian foods, the seafood and the coffee roasting and distribution centres and the bakeries. We have to mention the prepared foods and the ready-to-eat meals, because in our world the demand of these products is extremely high.
Because of the lack of available brands, the WFM decided to establish label product businesses. These are the: the Authentic Food Artisian (promotes certificated organic foods), the Everyday Value (sells high quality and less expensive products), the Whole Kids Organic (produces healthy foods directly for kids) and finally the 365 Organic Everyday Value (fully organic foods).
As we can see, the company is very selective about what they sell, and they believe in that they can make the world better with their healthier, full-of-vitamin products. The Whole Foods Market tries to sell the highest quality foods in the best possible prices.
2. What of the general environment segments and which factors therein are most relevant to WFM?
Whole food market is arguable one of the biggest and most popular organic food retailer in the US market because they sell everything what people need in everyday life and they are rises in Europe. Of course, just like in other segments, the WF has got also competitors, and for years they could win every battle and conquer the market against other companies, such as Trader Joes or Wile Oats. In our case the general environmental segment can be divided into six different parts which are the following:
-demographic
-global
-technological
-economic
-political
– and sociocultural
Demographic segment: Our population is changing and growing and this fact can guarantee the success of the WF. Nowadays, we can distinguish different groups from each other, for example the “Baby-boomers”, the urban singles or the working women and they became one of the target audiences of the shop. Baby -boomers are health-focused and they are able to pay higher prices for the organic and natural foods. Urban singles has got extra disposable income. Because of that nowadays more women working, the management of the WF started to produce prepared foods and ready-to-eat meals. These groups are the basis of the growth of the Whole Foods.
Sociocultural segment: Whole Food cares about the consumers opinions and feelings in are of the organic food and because they can understand the point of view of their costumers the can became more successful. They started to produce organic food for children and organic pet food which is unique and this is another success factor. Shortly, the sociocultural segment is the important trends that the customer is looking for.
Political segment: This segment is very important for the Whole Food market because all of the products go through the FDA approval. WF tries to understand this segment and they have been established their own policies during the food producing process. This step can guarantee that the government regulations will be followed.
3. In which industry does WFM compete and what are the dominant characteristics of this industry?
The grocery industry (including the organic and natural food industry) is large and popular and changing every day. We are able to observe that there is a global growth in this field and it redound a strong and popular market. This industry can be characterised low margins and reduction on prices for example by different actions, coupons and weekly specials. Prices are the dominant factors of this industry. Summary, the organic food retailer companies are on the top nowadays, but they can lose their first place easily by the supermarkets, because the management of the supermarkets recognized the popularity of the organic and healthy food. The WF try to keep their leading position with additional conveniences, such as the internet shopping and the inclusion of banks, pharmacies and bakeries located within the shop and they try to satisfy the changing tastes of the customers.
4. Is this an attractive industry in which to compete (Porter)?
Porters