Whole Foods Market Strategic Review Case Study


Strategic Review Whole Foods Market is one of the top retail stores dealing with organic and natural foods in the United States. The company operates and owns a chain of organic and natural foods supermarkets across the United States and Canada. In essence, the company has been able to reach large number of customer by operating through several subsidiaries, and Whole Foods is the first company in the United States to be awarded the first "Certified Organic" grocer. Whole Foods Market was incorporated in 1978 and started the organic and natural foods business in 1980. Within the last 35 years of its operations, the company has become the largest retailer in the organic and natural foods. The success that the company has enjoyed over the years makes the Whole Foods and ABC Company considering integrating their business portfolios.

Objective of this report is to provide a top-notch advice to the Whole Foods Company on the strategy move to integrate with the ABC Company.


Whole Foods mission is "to promote the vitality and well-being of all individuals by supplying the highest quality, most wholesome foods available." (Annual Report, 2013 p 1). The mission of the Whole Foods is to use high standards and quality as its pertinent. The company core mission is also to devote to the promotion of healthy eating, organically grown food as well as sustainability of the entire ecosystem. The company aims to set a standard of excellence within the retail food industry.


Our vision statement is to expand beyond being a food retailer. To fulfill our vision, we will measure our success towards customer satisfaction, return on assets, and team member satisfaction. We strive to enhance a better communication with our stakeholders to achieve a financial success.

Core Values

Whole Foods aims to create values for its major stakeholders, and the company core values are as follows:

To sell organic and natural products that commands the highest quality in the market.

To nourish, satisfy, and delight our customer.

To support our team member excellence and happiness.

To create wealth through growth and profits.

To support and serve our global and local community.

To practice and advance our environmental stewardship.

To create a win-win relationships with our suppliers, and Promoting the core health of our stakeholders using a health heating education.

The study provides the situational analysis of the company to enhance a greater understanding of the current business and financial performances of the Whole Foods.

Situational Analysis

Since 2002, Whole Foods...


In the last few years, the average footage for the company stores is 35,000 square feet with the trends reaching 40,000 square feet. The driving move behind the company merchandizing strategy is to create interactive and inviting stores that will enhance a pleasurable shopping experience for customer. In essence, the Whole Foods has designed its stores in colorful and strategic methods to make them becoming a relaxing environment for people when moving out of work in the evening.
The company has also recorded annual financial growths in the last 5 years. At the end of the 2013 fiscal year, the company recorded the revenue of $12.9 billon with net income of $551 Million. Moreover, the company recorded the total assets of $5.5 billons at the end of 2013 fiscal years. The company net margins also increase from 1.47% in 2009 to 4.27% at the end of 2013 fiscal year. Moreover, return on assets increase from 3.32% in 2009 to 10.17% in 2013. The return on equity also increases by same rates from 7.58% in 2009 to 14.35% at the end 2013 fiscal year. The table 1 provides the summary of the company 5-yaer financial ratios.








Net Margin %







Asset Turnover (Average)







Return on Assets %







Return on Equity %







Return on Invested Capital %







SWOT Analysis

This section provides the SWOT analysis of the Whole Foods Market revealing the strength, opportunities and weakness and threats the company is facing in the market environments.


The superior financial records are one of the strengths of the Whole Foods. Within the last 5 years, the company has recorded an increase in the annual revenue and net income, and the financial strengths have assisted the company to purchase its product from suppliers in a large scale thereby enjoying the economies of scale. The economies of scale that the company is enjoying make the…

Sources Used in Documents:


Annual Report (2013). Whole Foods 2013 Annual Report. USA

Morning Star (2014). Whole Foods Financial Ratios. USA.

Cite this Document:

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