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VISION
TO BECOME AN INTERNATIONAL BRAND
SYNONYMOUS NOT JUST WITH NATURAL AND
ORGANIZ FOODS BUT ALSO WITH BEING THE BEST
FOOD RETAILER IN EVERY COMMUNITY IN WHICH
WHOLE FOODS STORE WERE LOCATED
MISSION
HIGHLY SELECTIVE ABOUT WHAT WE SELL,
DEDICATED TO OUR CORE VALUES AND STRINGENT
QUALITY STANDARDS AND COMMITTED TO
SUSTAINABLE AGRICULTURE
MOTTO
WHOLE FOODS, WHOLE PEOPLE, WHOLE PLANET
CORE VALUES
SELLING THE HIGHEST QUALITY NATURAL
AND ORGANIC PRODUCTS
SATISFYING AND DELIGHTIING OUR
CUSTOMERS
TEAM MEMEBERS HAPPINESS AND
EXCELLENCE
CREATING WEALTH THROUGH PROFITS AND
GROWTH
CARING ABOUT OUR COMMUNITIES & OUR
ENVIRONMENT
OBJECTIVE
TO HAVE 400 STORES AND SALES OF $ 12 BILLION
IN FISCAL YEAR 2010
Sales of $ 6.6
Billion in fiscal
year 2007
Constant Growth
of 7 -9 % since
2000 yr
30,000 natural,
organic and
gourmet food
products and
nonfood items
10 company
acquisition till
2007
9,321,107 sqft
all together
stores in 2007
STRENGTH
Product varieties
Higher Capital
Companys brand image and cause of its existence
Higher number of stores
Higher quality goods, environment
Highly skilled and efficient employees
Lower employee dispute
Bigger and better stores
Stores allocations based on the need and demand analysis within USA
Superior quality suppliers and providers
Noble CSR activities
Positive word of mouth marketing
Excellent customer service with attractive compensation package for employees
Weakness
Component
Description
Demographics
Social forces
Attitudes,lifestyles
Political, legal,
and regulatory
factors
Political policies and processes, as well as the regulations and laws with which
companies comply.
Natural
environment
Technological
factors
The pace of technological change and technical developments that have the
potential for wide-ranging effects environment, such as clean energy, solar
power, organic production process, lower CFT etc.
STRONG
Power of Supplier
STRONG
Power of Buyer
WEAK
Competitive Rivalry
STRONG
New Entrants
STRONG
STRATEGY 1
A WHOLE SOME VISION , MISSION, OBJECTIVE AND VALUE PROPOSITION
STRATEGY 2
USDA LAW BASED PRODUCT DIFFERENTIATION AND OFFERING AFTER THE STORES
INCEPTION
STRATEGY 3
ACQUISITION OF MULTIPLE STORES SINCE 1990S AND EXPANSION
STRATEGY 4
FOCUSED DIFFERENTIATION STRATEGY
STRATEGY 5
ESTABLISHMENT OF NEW DISTRIBUTION STORES FOR REDUCING OPERATING COST
STRATEGY 6
INNOVATIVE AND PROACTIVE CUSTOMER SERVICE
STRATEGY 7
EVA BASED PERFORMANCE MANAGEMENT
STRATEGY 8
HIGHER CSR INVESTMENT AND SOCIAL CITIZENSHIP
Financial Analysis
34.84%
4.51%
2.77%
5.81%
12.52%
$1.30
Financial Analysis
.85 times
.48
-116528
Financial Analysis
55%
40%
1.2 times
0.66 times
70.68 times
Financial Analysis
25 days
15 times
6 days
Activity Ratio:
STRATEGIC DILEMMAS
High Price
Niche Market orientation
Less investment in advertising
Ambitious projections
No Product Segmentation
Increasing new entrant threats
Lower Supplier Number
FINANCIAL DILEMMAS
Lower GPM
Lower EPS than 2006
Lower NPM
Higher DOI
1. Increasing Sales , through EVA program for employees and maintaining lower
operational cost.
2. Operating income is very low, so they need to reduce overhead costs.
3. EPS is low compared to 2006, $1.42 need to increase it thorough increasing
profits by accelerating sales.
4. Days of inventory is higher , which is very poor for perishable items found in
whole food superstore. In order to reduce this figure the products needs to be
increased efficiency of value chain.
5. Working capital is negative so they need to invest more in cash, reduce
inventory cost.