Whole Foods Company Has, Through the Last

Whole Foods company has, through the last several years, changed various business strategies and practices used by the company all in an effort to address the onset, and lingering influences, of a devastating recession, not only in America but around the world. Some of the strategic actions implemented include; scaling back on the size and number of stores the company sought to open and expand in new and existing markets, emphasizing a much more value-priced approach than was previously used by the company in its stores, and offering a more efficient and incentive-based compensation plan for its employees.

Since many of these changes in strategy have only taken place during the last two-to-three years, the full effects of the changes in strategy has yet to be felt, and whether the changes should take on a more permanent basis is still very much in the air.

Business strategies are often changed, revamped and modified, usually to ensure a response to specific circumstances. The environment in which a business operates is a fluid one, and one that is at the source of many changes currently taking place in business communities around the world. As Neville Isdell, the CEO of Coca-Cola recently stated about today's business paradigm "consumers have much higher expectations of us, of business. They expect us to be part of the solution on everything from climate change to health and wellness" (Isdell, 2008, p. 381). Additionally, he went on to tell how, in increasing numbers, consumers seem to be basing their purchasing decisions on how they feel about a company, so the reputation of the company is part of the reputation of the brand (p. 381).

Whole Foods seems to have done their part in making changes, by downsizing the company's growth aspirations, providing a more value-priced approach for consumers who may be under budget constraints, and by concentrating on its "Whole Foods" offerings that include organic, pesticide free products that promote health and wellness for its customers. The company's slogan of Whole Foods, Whole People, Whole Planet presents a scenario that promotes a company that wishes to do more than just ensuring profitability. Many consumers who are now seeking to do business with companies of the Whole Food ilk, will continue to do business with Whole Food based upon the fulfillment of that slogan. Whole Food, however, is also faced with competing in a business environment that is constrained, to put it mildly. These are times that try a businessman's soul, and truly defines whether a company really does "walk the talk."

The question remains however as to whether these strategies should be continued, or whether the time has come to (once again) attack the marketplace with aggressive actions meant to produce higher profits, efficiencies and revenues.

It is probably not time yet to initiate larger stores, nor to focus on 'showcase' locations. Lowering the expenses of opening new stores by almost fifty percent is a wise move and provides additional capital and cash flow that could likely be used in a more effective manner. Additionally, ongoing expenses related to the maintenance and repair of larger facilities detracts from overall profitability.

Another area of concern is whether the company should offer more along the lines of good-for-you products and services. The company currently focuses on this type of offerings and should continue with it as well.

Many of the shoppers that are attracted to the Whole Foods concept seem to be primarily concerned with health and wellness. This plays well into Whole Food's current strategies and should continue to be a focus.