Whole Foods Executive Summary

Financial Capabilities Financially Whole Foods Market is faring very well. WFM's has had revenue growth of 1.8% in the last year which has slightly outpaced the industry average of 0.5% over that same period. Along the same lines net operating cash flow has increased to $284.00 million or 22.41% when compared to the same quarter last year. The firm also exceeded the industry average cash flow growth rate of -11.29%. (Lysack 1) The firm also has strong gross profit margins and debt to equity ratios but net profit margins trail the industry average and a quick ratio of .85 is a little weak and may be a cause for future problems as this shows how well a firm can meet its short-term liabilities. Overall WFM is financial stable and set up well for expansion into Italy. Refer to the chart in the appendices, table 1, to
Also the company has the highest quality standards for its products. WFM’s mission and core values state, “We have high standards and our goal is to sell the highest quality products we possibly can. We define quality by evaluating the ingredients, freshness, safety, taste, nutritive value and appearance of all of the products we carry. We are buying agents for our customers and not the selling agents for the manufacturers.” (Whole Foods Market) This allows WFM to stand out from its competitors that offer cheaper products but are lower quality. This reputation as a high-end natural and organic seller also allows WFM to charge premium prices for its premium products and not have to compete based on price with the likes of Walmart Price Chopper and Hanford. WFM also has a reputation as a high quality seller of natural and organic goods that appeals to the health conscious above average income earners. WFM has global brand recognition that would allow it to transition smoothly into global markets that are looking for more natural and organic