The whole food market was founded by one man John Mackey in 1975 when he raised around $45,000 from family and friend. Indeed, the whole food market started selling natural and organic foods in the market over its own stores. Meanwhile, the growth of the company was an example for the companies in the market, where it opened many stores, and acquired some stores at good market locations. Meanwhile, the company became conglomerate the biggest chain of organic stores throughout the United States. The mission and vision of the company was to provide qualitative, healthy and fresh food to the customers that actually became the distinctive competency of the company. Because, it also has state-of-art environment and temperature controlled distribution centers that maintained the quality of food, and food remains fresh and healthy. Meanwhile, vision of the company was to serve the customers in the market, employees in the company, and it also has social aim to give back to society, and practicing corporate citizenship. Consequently, it became challenging for the company to maintain the growth trend, and social aim together. However, it is recommended for the company to focus on the customer-driven products, and be disruptive in product innovation, and continue practicing the conscious capitalism that would give sustainable growth, and be on the social aim, because the first priority of the company would not be profit.

External Analysis

Power of supplier

The power of supplier is medium in the organic food industry. Since, there are many complications, and complexities in the market due to the increased competition. On one hand, it can be determined that supplier can play his monopoly in supplying the food, and might influence the prices of the products, and on the other hand, increasing competition has also increased complications for the supply system, so the suppliers has medium power of manipulating the market.


Power of Buyer

The organic foods is a rising industry in the market. Meanwhile, there is huge growth because, the customers are demanding more organic foods due to the health benefits, and for eating fresh food. Meanwhile, there is huge competition in the market, and industry is near to be mature. So, there is low power of buyer in this organic food industry, meanwhile they cannot influence to decrease the prices.

Competitive Rivalry

The Whole foods market is much more than a super market. Whereas the company has diversified organic product range in the market that has given competitive advantage to the company. Similarly, the company also has more number of stores in United States, and it is also planning to acquire its biggest competitor Wild Oats. Therefore, it can be determined that the company has distinctive competency in the market against all major players in the industry.

Threat of Substitution

There is low threat of substitute, because the organic industry is about to become mature in the market, and if anythreat might rise against the industry as substitute, it would have no effect on the company or the whole industry.

Threat of New Entry

There is low threat of new entrants in the market for the company. Because, the company has competitive advantage over the competitors in the market in terms of product range, and number of stores. Meanwhile, the company has own state-of the art distribution centers to tackle the challenge of presenting fresh foods to their customers. So, there is low threat of entry for the company, since it has become one of the largest company in the organic food industry.

General External Environment

There is no economic impact on the industry or the company as individual or as whole. Because, the healthy food is a necessity of life,and people would not leave eating healthy food, but it is possible that sales might decline. On the other hand, the company also has to ensure that it meets the markets diversified culture, and demographic demands. But, the political decisions might disturb the company as it has been experiencing in the acquisition process.

Internal Analysis

Organizational Culture and Structure

The company has provided unique culture in the organization. Since, its mission and Declaration of |Interdependence states mission of the company as “creating an organization which manifests love, joy and happiness” On other hand, the CEO John Mackey has also stated the we are dedicated to create positive, productive and enjoyable work environment. These culture characteristics has enabled the company to have unique organizational culture, these characteristics have positive impact on the company, and has contributed positively to growth of the company.

Because, the employees have realized as team members that those who have contributed for the betterment of the store’s operations are also welcomed in policy making process. It indicates that organizational structure of the company is decentralized, where each and every one has defined role, and there is no barrier between the CEO and employees.....................

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