One of Whole Foods’ core competencies is having a strong supply chain. To begin with, the supply chain is decentralized and has minimum governance in order for each store location to source a product mix in accordance to the area. This enables them to add specialization to each grocer, which is dependent on the demand and consumers of the area. The only key governance rule every Whole Foods’ needs to follow is that each store cannot purchase or use products that have the following: artificial flavors, preservatives, colors, sweeteners, or anything that is not naturally produced/raised (MIT Sloan Management). On another note, Whole Foods’ supply chain is tailored to handle shortfalls, especially for produce. For example, if one farmer cannot produce the promised amount of produce, Whole Foods can make up for this loss in produce by requesting additional produce from another farmer. It should be noted that this system is operational because Whole Foods has a deep and long-term relationship with each organic producer. Furthermore, Whole Foods’ seafood sourcing is considered one of the best in the industry. This is because they have the capabilities to deliver their seafood in under 48 hours. Whole Foods has several on-site buyers in Alaska who develop long-term relationships with the fishermen in order to receive the best quality catches from the best practices at the best price.
Another one of whole foods core competencies is it’s focus on subcategories instead of brand competition. Whole foods has defined itself as a healthy, organic, and natural food selection. It has banned over 70 plus additives and promotes healthy eating habits (often providing salad bars to schools). When shopping at Whole Foods the shopper is making a statements about themselves. This is not easy for the competition to do. Someone shopping at King Soopers, Albertsons, Safeway, etc. does not allow a person to define and separate themselves from others as clearly as shopping at whole foods does.They have essentially created their own community by focusing on subcategories rather than the competition. Whole foods has also done well with value based pricing. Whole foods continues to add “high-grade” offerings that other competitors do not carry. This raises the value of their products allowing them to determine pricing based on perceived value rather than actual cost. Their exclusive 365 everyday value brand has established itself as healthy and quality through out whole food stores.
Markets They Serve:
It’s a report about the whole food company and we have to analysis it in two pages
I only need one pragrahe and one source about the markets they serve . we already wrote two.
(As scound language )