Whole Foods Case

Case Study: Whole Foods

1. What are the chief elements of the strategy that Whole Foods Market is pursuing?

The chief elements of the strategy that Whole Foods Market is pursuing is to build awareness to the consumers that it is not difficult to eat well and maintain your body with the highest quality of nutrition and protein that do not contained preservatives and artificial ingredients. Whole Foods Market takes pride in providing fresh, natural and organic foods that are least processed yet still flavorful and beneficial to our lifestyle. They currently dominate as a leader in the natural and organic food movement across the United States and continue to make every effort to promote healthier eating choices globally.

2. Is the strategy well matched to recent developments and conditions in the natural and organic foods segment of the food retailing industry?

This strategy that Whole Foods has used has been one of the main keys to their success. Whole Foods is aware of their social responsibility to the consumers. They saw that there was an unmet need and want for natural and organic foods but very few places that were accessible to customers to be able to purchase it. Their constant focus on providing high quality foods that are without harmful chemicals such as pesticides or hormones make them stand out from corporate supermarkets. Their competition is almost non-existence aside from establishments like Trader Joe's or farmer's markets. However, they have found a strategy that benefits the consumer and achieves the goals of the organization and generates money for their stakeholders.

3. Do you think John Mackey has a good strategic vision for Whole Foods? Why or why not? What do you like/dislike about the company's motto "Whole Foods, Whole People, Whole Planet?" Do the motto and the principles underlying it (Exhibit 1) really matter at this company or are they just nice words and cosmetic window dressing? Explain?

Yes, John Mackey has a good strategic vision for Whole Foods because if you can tell by the company's growth and profit, he has managed to maintain high quality products that meet Whole Foods' standards, as well as opening more stores up across the globe. He has effectively communicated down the line to the lower-level managers and employees the organizations goals so that everyone can effectively work together to maintain Whole Foods standards and achieve their mission. I do like the company's motto "Whole Foods, Whole People, Whole Planet because it's always comforting to see a company that not only cares about just making a profit but cares about the product that they are putting out for the consumers and how it will affect not only us but our environments as well. The motto and principles reiterate the company's core values. I believe that they are trying to make a difference in how people eat and what they are putting into their bodies and how it affect our planet after we dispose of them afterwards. I feel they do take their motto seriously and it's shown when you walk into their stores and see the fresh produce and gourmet products of high quality.

4. Do Whole Foods Market's core values as presented in case Exhibit 3 really matters? Are they "real" or just cosmetic window dressing? What evidence can you cite to support your answer? Have Whole Foods' core values contributed to the company's success? Why or why not?

Whole Foods Market's core values that are presented in case Exhibit 3 do matter because these values are what the company embodies. Their standards will always remain to produce high quality items and distribute countless of organic food and gourmet products that are readily accessible to the public and can be purchased at a reasonable price. Whole Foods will always value their customers and deliver on their promise with providing high quality products that are most beneficial to the stakeholders as well as the environment and agriculture. Whole Foods' core values have contributed to the company's previous 27 years of success and will continue well into the future. Whole Foods will adapt to fulfill consumer's wants and needs but have not changed the essences that have made them so successful because they will always provide natural foods to maintain their equity as an organic corporate brand. In my opinion, I believe their core values are real based on the information given and my own personally experience. Whole Foods cannot be all things to all people and stretch their brand so much that they might fail. They understand what the people expect and want from them and have not become something they are not. They sell organic food and won't start selling food with artificial ingredients and jeopardize everything they have created prior.

5. How well is Whole Foods Market performing from a financial perspective? Do some number crunching using the data in case Exhibits 9 and 10 to support your answer. Use the financial ratios presented in the Appendix of the text