Whole Foods Market
Although the company has established a strategic position in the market, this does not guarantee future success. Emerging trends and turbulence in industries and markets may demand the company to consider certain potential alternatives to gain a competitive advantage over other market rivals including Tesco, Trader Joe’s, Wal-Mart, and Sprouts, among others. The company can consider two strategic alternatives, namely generic strategy or intensive strategies.
Generic strategy
The company can employ generic strategies to gain a competitive advantage over the incumbent firms in the industry. Porter argued that a firm can gain a competitive edge over market rivals by pursuing the generic strategy. There are various generic strategies that Whole Foods Market can consider to pursue. These generic strategic encompass cost leadership, differentiation, …show more content…
The company can use its current products to attack new market segments or new markets. For instance, Whole Foods Market can use this strategy to attack new markets, especially emerging economies such as Asian and African countries, which can help to widen its market share by attracting new customers.
Product development Product development is another intensive growth strategy. A firm that pursues product development growth strategy seeks to grow sales by enhancing or altering current services and/or products (David 142). That is, product development strategy involves designing, developing, and offering new products and/or services to the current markets.
Also, Whole Foods Market can also use product development by offering its current products to its present markets. The company can use this strategy to generate more revenues by offering new products to its current customers. Whole Foods Market can make this strategy more effective by emphasizing quality and uniqueness of its products.
Generic strategy
The company can employ generic strategies to gain a competitive advantage over the incumbent firms in the industry. Porter argued that a firm can gain a competitive edge over market rivals by pursuing the generic strategy. There are various generic strategies that Whole Foods Market can consider to pursue. These generic strategic encompass cost leadership, differentiation, …show more content…
The company can use its current products to attack new market segments or new markets. For instance, Whole Foods Market can use this strategy to attack new markets, especially emerging economies such as Asian and African countries, which can help to widen its market share by attracting new customers.
Product development Product development is another intensive growth strategy. A firm that pursues product development growth strategy seeks to grow sales by enhancing or altering current services and/or products (David 142). That is, product development strategy involves designing, developing, and offering new products and/or services to the current markets.
Also, Whole Foods Market can also use product development by offering its current products to its present markets. The company can use this strategy to generate more revenues by offering new products to its current customers. Whole Foods Market can make this strategy more effective by emphasizing quality and uniqueness of its products.