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Competitive Forces and Swot Analysis

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Competitive Forces and SWOT Analysis
Teresa Hamlett
BUS 599
Strayer University
Dr. Russell Handlon
January 22, 2012

Competitive Forces and SWOT Analysis Got organic? Concerns for healthier foods have led to consumers purchasing alternative foods. Consumers have found solace with organic foods. Organic foods are considered to be like natural foods. These foods do not contain any harmful processing agents or ingredients or chemicals and pesticides. Whole Foods Market is a producer and seller of organic foods. The trends associated with retailing of organic foods have impacted those of Whole Foods Market. Other supermarkets who are now selling organic foods have created a competitive environment in which Whole Foods Market must vie with. A SWOT analysis will reveal the key strengths, weaknesses, opportunities, and threats Whole Foods Market must face. A further analysis of these will be useful in Whole Foods Market maintaining a competitive advantage in the marketplace.
Organic Food Trends “According to the USDA, 2000 was the first year in which more organic food was sold in conventional U.S. supermarkets than in the nation’s 14,500 natural foods stores (Thompson 2009, Pg. C-4).” Supermarkets have stocked more organic foods over the last decade and have even setup sections that only have organic foods in those sections. As consumers are becoming more health conscious, worried about what is in their foods, and concerned about soil and water conservation, organic foods have been growing by leaps and bounds in terms of sales (See Exhibit “A”). “Only one segment has not kept pace—organic farms have struggled to keep up with the rapid growth in demand, leading to periodic shortages of organic products (Dimitri and Oberholtzer 2009-9, Abstract).” Problems associated with organic foods consisted of…...

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