How Whole Foods Market Came About
Topic: The History of Whole Foods Market, Inc.
Specific Purpose: To give a biographical timeline of Whole Foods Market, Inc.
Thesis Statement: Whole Foods Market has not always been, but had to become what it is today.
Introduction
I. A vegan’s paradise. Some call it heaven on earth. A place filled with rows of all natural and organic food. Some say there is no place like home; I say there is no place like Whole Foods!
II. Throughout the countless amounts of times I’ve been to Whole Foods, I’ve always been curious about how it started.
III. During the course of my speech, you will be enlightened on the history of Whole Foods Market.
A. How did Whole Foods come about
B. What struggles did the Company have
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WholeFoodsMarket.com states that Whole Foods Market did not start off as Whole Foods.
B. According to WholeFoodsMarket.com, Owners of Saferway (a natural food store in Austin, Texas) John Mackey and girlfriend, Renee Lawson teamed up with owners Craig Weller and Mark Siles of Clarksville Natural Grocery.
1. They merged their stores together
2. On September 20, 1980, they dropped both of the separate titles and came up with the name Whole Foods Market.
3. There staff consisted of 19 people and the building was 10,500 square feet, business was booming.
(Transition: With the warm reception of the store opening, they decided it would be a good idea to think about expansion.)
II. Based upon WholeFoodsMarket.com, expansion was well on its way until the company had to be put on pause due to a major setback.
A. Memorial Day 1981, a devastating flood damaged the store and its entire inventory.
1. The store’s losses were about $400,000. They also did not have insurance, which meant the money had to come out of pocket.
2. Thankfully, the community and outside investors pitched in and helped the company get back in the right direction.
3. They were back open for business in 28 days after the major
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By 1996, the demand for Whole Foods grew. More people wanted to eat better and natural foods, which was great for the company but this also meant that they had to offer more stores in various locations. Basically, more work.
1. Expansion had to continue
2. The company partnered up with different companies in order to implement their products in the store and purchased more locations.
D. One particular store they transformed was the well renowned Mrs. Gooch’s stores.
1. The clientele didn’t take to well to the change of name, there sales dropped about 10 percent.
2. Whole Foods had to revamp their strategy when it came to well renowned stores
(Transition: Since customer loyalty had gone down a bit, Whole Foods decided to create new tactics in order to boost their sales.)
IV. Based upon ReferenceforBusiness.com, Whole Foods had to design a system to improve productivity.
A. In 1997, the company created a system to track productivity and prices.
1. They came up with a centralized purchasing system
B. In the Spring of 1997, the company created their 365 label
1. The label was different from The Whole Foods label because the 365 label did not have any organic items at the time.
2. This was done in order to attract regular supermarket shoppers.
C. The WholeFoods.com website came out in March of
The food market business is usually a difficult one, but online retailer Amazon's proceeding to purchase high-end chain Whole Foods changed the landscape. The new corporation is currently reducing prices, as well as Amazon is managing to reduce costs by taking its online expertise
Whole Foods Market allows each market to supply products that are standardized, and also supply products based on local buyer needs, as well as the culture of the area; therefore their business strategy is transnational (Thompson, 2016, p. 192). Whole Foods Market varies their products based on location, focusing on local products and any unique products to promote a neighborhood market feel for their customers. The company strategically chooses its locations, placing them in educated areas, and then focuses on products to sustain a competitive advantage.
What’s the difference between Walmart and a farmers’ market? What causes these differences? And, what are we more partial to? Tracie McMillan delves into the intricacies and complications of our nation’s food industry in The American Way of Eating. Specifically, as McMillan integrates herself into the farming and grocer/selling aspect of the industry, it is evident the food system has been extremely successful in offering ‘abundance, accessibility, and affordability’ to its consumer. In doing so, the industry has effectively implanted an industrialized system which is, in part, reason for its ability to offer ‘abundance, accessibility, and affordability’; the industry has been equally prosperous in cultivating and maintaining such a system. America’s agriculture has grown in scale, fully utilized biotechnology, and mechanized which leads to questions for the consumer as
They will continue to add more stores and expect to open its 3,000th store during the first half of 2005. Their ability to generate significant net operating cash enables them to continue to invest in product innovation, new technology, and the ability to strengthen its leadership in the industry.
Steve Oliver Maass purchased a grocery store that was in bankruptcy back in 1988, in Cotati, CA, mortgaging his house to come up with the payment of $200,000. Although he had no grocery store experience besides working in the produce department of one, he felt he could not do any worse than the previous owner did. The store was run down and a mess requiring a lot of cleaning. With limited funds, he was only able to paint instead of doing much remodeling, as he wanted to do. Maass renamed the store Oliver’s Market after his middle name, and he and his wife worked the store for the first four years. During those years, Oliver’s added a Service deli and a Health foods section. Following the format of Whole Foods, Oliver’s carried a section of organic health foods and included conventional items as well.
They seem to be a company that enjoys their employee’s success. It is a great reflection on the company that so many people seem to enjoy their position at Whole Foods and feel like that are making a positive impact on both Whole Foods and the customers. Any company that focuses on self-motivation is going to be a winning company. This helps them build dedication and loyalty to their brand by giving those who work the hardest the most opportunities. They have been ranked as one of the top 100 places to work in America by Fortune since the list was created in 1998(WholeFoodsMarket.com).
Whole Foods began in Austin, TX in 1980 as a way for people to get the natural foods they desired. After several mergers Whole Foods has grown into a chain with nationwide locations and topped the list in 2013 for the healthiest food store (Paul, 2013). Whole Foods offers choices for those that choose to be health conscious and prefer organic foods and clear labeling on all packaging; they even carry grass fed meats and do not use any artificial ingredients in their baked goods or snacks. In addition they label if an item contains a genetically modified organism, GMO for short.
The company had to be the second largest retailer shop in the US; it has many advantages that come along. The customers well acknowledge the company and its brand have been well established.
on it. Business was good, but it took much work to keep the store running. The
It quickly grew popular and did so well in the first year that they decided to open a second store.
The firm continues to expand, now into 2000 retail stores in 30 states. To satisfy consumer demand, officials of the organization indicated they broke ground for a new manufacturing plan.
Gamble, John E., Strickland, A.J. Thompson, Arthur “Whole Foods Market In 2006: Mission, Core Values, and Strategy”, Crafting & Executing Strategy 15th Ed., McGraw-Hill Irwin, 2007
“Attention Whole Foods Shoppers” is an essay written by Robert Paarlberg for the May/June 2010 edition of Foreign Policy magazine. Foreign Policy was originally founded in 1970 with the intention of providing views on American foreign policy during the Vietnam war and does more or less of the same today. Paarlberg’s purpose in this essay is to convince an educated western audience that the Green Revolution was not a failure and improved life everywhere it took place, organic food having advantages over non-organic food is a myth, and the solution to food disparity is investing into agriculture modernization. With logos as the main mode of appeal, Paarlberg’s organization effectively sets up his points throughout the essay with consistently
The strategy of WFM, co founder Mackey, is to continue offering healthier options for its customers. The movement into Canada and the UK in the last few years, lays the footprint for additional global expansion. Mackey intends to increase WFM to 1000 stores. The question is whether it will happen through acquisitions or new store locations. The answer based on their history is a combination of both. The store in Canada opened in 2002. Since brand recognition is not as strong, the store struggled somewhat in the beginning; however, the expectation is that it will grow to one billion in the next ten years (Patton, 2013). The stores in UK, which are in the greater London area, have received mixed receptions, and some stores are selling well while other locations are not. However, Mackey is not deterred and believes that longevity will produce the desired results.
To most consumers Whole Foods is known as a chain grocery store specializing in organic and natural foods. Some may go as far as say the name is synonymous with quality. This comparison is the result of Whole Foods’ marketing their brand successfully to consumers demanding their specialized foods. As with any organization, Whole Foods may consider evaluating their strategic objectives and decide if necessary course corrections are needed to reach their objectives and goals. Through a fundamental and technical analysis, I will discuss Whole Foods’ mission, vision, and goals, their competitive environment, and some factors within their strength, weakness, opportunity, and threat analysis. With such data and information I will recommend, if needed, and strategic changes in order to sustain a competitive advantage.