1. Broad Variety of Products –
An extensive product offering allows the company to address multiple customer segments. Besides insulating Whole Foods Market from any significant fall in demand for a specific product or segment, extensive product portfolio also enables the company to attract new customers in addition to retaining the existing ones.
2. Respectable Brand Image –
The company brand is strongly associated with the highest quality standards for natural and organic products among its competitors. Customer’s strong confidence, in the quality of WFM’s products, sets WFM apart from other supermarkets.
3. Strong Relationships –
The franchise is well respected and has strong support by surrounding communities and complementary industries …show more content…
Relatively High Prices –
Prevents the company from serving consumers who would rather buy cheaper goods.
3. Limited Network of Suppliers –
Very few suppliers satisfy WFM’s quality standards, and those who are able to meet those standards, do so at high costs, limiting the company’s rate of growth.
OPPORTUNITY THREAT
1. Favorable Industry Trends –
Whole Foods Market can benefit from the increasing demand for healthy and organic foods; this is due to the increased awareness of the importance of maintaining health through diet.
2. International Expansion –
There are growing populations, in Canada and several European countries, which are interested in natural and organic products.
3. Growing Pet Spending –
The US pet industry, considered to be one of the largest in the world, has been growing at a strong pace, and WFM already provides a large variety of choices to pet owners regarding different feeding philosophies. 1. Intense Competition –
High level of competition could erode Whole Food Market's share in the food retailing market and affect its margins.
2. Supermarkets Introducing Organic Products –
Companies are expanding more aggressively in the natural and organic foods markets and some are even offering lower prices; this provides more competition and shifts consumers away from WFM.
3. United States Economy –
Possible inflation and poor economy can shrink the current targeted segment and prevent the targeting of a larger segment as customers will be more reluctant to meet current WFM
An extensive product offering allows the company to address multiple customer segments. Besides insulating Whole Foods Market from any significant fall in demand for a specific product or segment, extensive product portfolio also enables the company to attract new customers in addition to retaining the existing ones.
2. Respectable Brand Image –
The company brand is strongly associated with the highest quality standards for natural and organic products among its competitors. Customer’s strong confidence, in the quality of WFM’s products, sets WFM apart from other supermarkets.
3. Strong Relationships –
The franchise is well respected and has strong support by surrounding communities and complementary industries …show more content…
Relatively High Prices –
Prevents the company from serving consumers who would rather buy cheaper goods.
3. Limited Network of Suppliers –
Very few suppliers satisfy WFM’s quality standards, and those who are able to meet those standards, do so at high costs, limiting the company’s rate of growth.
OPPORTUNITY THREAT
1. Favorable Industry Trends –
Whole Foods Market can benefit from the increasing demand for healthy and organic foods; this is due to the increased awareness of the importance of maintaining health through diet.
2. International Expansion –
There are growing populations, in Canada and several European countries, which are interested in natural and organic products.
3. Growing Pet Spending –
The US pet industry, considered to be one of the largest in the world, has been growing at a strong pace, and WFM already provides a large variety of choices to pet owners regarding different feeding philosophies. 1. Intense Competition –
High level of competition could erode Whole Food Market's share in the food retailing market and affect its margins.
2. Supermarkets Introducing Organic Products –
Companies are expanding more aggressively in the natural and organic foods markets and some are even offering lower prices; this provides more competition and shifts consumers away from WFM.
3. United States Economy –
Possible inflation and poor economy can shrink the current targeted segment and prevent the targeting of a larger segment as customers will be more reluctant to meet current WFM