BUS599, Strayer University
October 23, 2011
Competitive Forces and SWOT analysis: Whole Foods Market 1. Discuss the trends in retailing of organic foods and the impact of these trends on Whole Foods Market.
The organic foods industry is one that shows consistent growth. From year to year, they are undergoing an increase in demand. There are a number of factors that contribute to the industry’s growth. These factors include more consumers being educated, and conscious of health concerns of processed foods having a negative impact on their body and the environment. Trends in the retailing of organic foods would include the ups and downs in the farming industry, healthy lifestyles, the environment, and the fluctuating economy.
Majority of consumers are now paying more attention to what they are ingesting. This is in large part to making sure what they are putting into their body is ensuring safety. This healthy lifestyle is not only being used for individuals, but also families. Obesity is increasing from year to year; even schools are taking a step into promoting a healthier lifestyle by changing the items they have for sale. For example, many schools are no longer sale sodas during school hours and have now selected baked chips or sun chips over your regular choice of bagged goodies. The ups and downs of the farming industry will always be a trend pertaining to the retailing of any foods. A bad season can lower the available supplies for businesses causing a shortage. Unexpected weather can cause a bad season. Hurricanes, tornadoes, or any heavy rainstorm can cause crops to be lost. Another belief of consumers is that organic farming has positive effects on the environment. If less preservatives are being used the environment should not be exposed to harmful products such as pesticides. With the state of today’s economy, more people are cooking at home and
References: Thompson, A.A., Strickland, A.J., & Gamble, J.E. (2010). Crafting and executing strategy: The quest for competitive advantage: Concepts and cases: 2009 custom edition (17th ed.). New York: McGraw-Hill-Irwin. Dimitri, C. & Oberholtzer, L. (2009). Marketing U.S. Organic Foods: Recent Trends From Farms to Consumers. Retrieved on October 20 from http://www.ers.usda.gov/publications/eib58/eib58.pdf