Whole Foods International Expansion Essay Example
Global Business Plan: Whole Foods Market Expands to Munich, Germany
October 15, 2012
Abstract
Whole Foods Market, a supermarket chain which emphasizes "natural" and organic products, centers their core competencies and values on product quality, pleasing customers, creating a positive environment for employees, education on healthy eating, prosperity, environmental stewardship and positive partnerships with suppliers. Listed as one of the world's healthiest countries, Germany is an ideal location for Whole Foods to expand and share its experience. Initially, Whole Foods is going to expand to one location in Munich, Germany. Munich is the third largest city in Germany, which also offers surrounding farms to serve as suppliers for Whole Foods. Germany has by far the greatest demand for organic products in the European Union and is second only to the USA at a global level. Recognizing the failures of other chain expansions to Germany, such as Wal-Mart, Whole Foods is going to utilize a transnational approach, which will address cost efficiency and local responsiveness. The following paper will give a methodological approach for the premise of Whole Foods entering the German Market, organizing Whole Foods’ business activities, and implementing a global marketing plan for Munich as the basis for Whole Foods entrance and expansion into the German market.
Phase 1 - Plan Global Business Enterprise
A. Identify Global Business Opportunity
1. Potential Market
Whole Foods is going to enter the German market beginning with its third largest city, Munich. According to the United States Census, Germany is the world’s fifth largest importer and exporter with $89.36 billion already through this July (United States Census, 2012). Organic foods in Germany have tripled between 1998 and 2008 and the country has faced a shortage of organic foods since 2007. Munich, Germany is surrounded by farms and agricultural producers to providing a supplier network for Whole Foods to
October 15, 2012
Abstract
Whole Foods Market, a supermarket chain which emphasizes "natural" and organic products, centers their core competencies and values on product quality, pleasing customers, creating a positive environment for employees, education on healthy eating, prosperity, environmental stewardship and positive partnerships with suppliers. Listed as one of the world's healthiest countries, Germany is an ideal location for Whole Foods to expand and share its experience. Initially, Whole Foods is going to expand to one location in Munich, Germany. Munich is the third largest city in Germany, which also offers surrounding farms to serve as suppliers for Whole Foods. Germany has by far the greatest demand for organic products in the European Union and is second only to the USA at a global level. Recognizing the failures of other chain expansions to Germany, such as Wal-Mart, Whole Foods is going to utilize a transnational approach, which will address cost efficiency and local responsiveness. The following paper will give a methodological approach for the premise of Whole Foods entering the German Market, organizing Whole Foods’ business activities, and implementing a global marketing plan for Munich as the basis for Whole Foods entrance and expansion into the German market.
Phase 1 - Plan Global Business Enterprise
A. Identify Global Business Opportunity
1. Potential Market
Whole Foods is going to enter the German market beginning with its third largest city, Munich. According to the United States Census, Germany is the world’s fifth largest importer and exporter with $89.36 billion already through this July (United States Census, 2012). Organic foods in Germany have tripled between 1998 and 2008 and the country has faced a shortage of organic foods since 2007. Munich, Germany is surrounded by farms and agricultural producers to providing a supplier network for Whole Foods to