The International Organic Food Market

Adjusting the pricing strategy and targeting key demographics will help to increase Whole Foods’ market share in the organic industry. If instituted successfully, consumers will be able to choose which experience they would prefer: either a larger atmosphere with a greater selection and supply or a cheaper, smaller environment in which popular food items are available at a lower cost. This can satisfy both those who are interested but on a budget and the loyal customers who have high disposable income that is used to purchase premium organic products without regard for price.

The demographic, economic and the socio-cultural segments would be the most relevant segments to Whole Foods Market. These segments have a direct impact on the profitability, sustainability and survivability of Whole Foods Market, and the organic food industry. The relevance of the demographic segment stems from the fact that the age structure, income distribution and population size are important factors which will influence the demand for organic products. The economic segment is relevant, as an affluent population will continue to drive and sustain demand for organic products. The socio-cultural segment is another relevant segment, where attitudes about quality of life,

Over the last few years, awareness of organic food has risen. Due to this, the demand for organic food is a factor which is influencing the farmers to switch to use this technique, and it is being sold in specialty stores and conventional supermarkets. Organic products contain numerous marketing claims that it is healthier, it offers more value, and the farming is more environmentally friendly than traditional foods, so, how does one determine if organic is the way to go? Some argue that there is evidence that supports and demonstrates why organic foods and farming are better overall, while others insist that conventional foods and agriculture can offer the same benefits as going organic. There is no right or wrong answer. Within this

Organic consumers are not going to feel comfortable buying their premium organic foods from the same place they could buy cheap home appliances, children’s toys, or unfashionable clothing.

In regards to income, more specifically, 35% of people considered as organic consumers earn more than $50,000 as opposed to the non-organic consumer which comprises a total of 30%. Finally, taking into account the geographic location of the common organic consumer, the majority of them are concentrated in the Western and Midwestern regions of the United States (“Marketing”, 2011). I think you will find that all of these elements combined will be of great help in targeting our potential market for organic products.

Furthermore, Shapin was informative, argumentative, and logical throughout his essay. In “What Are You Buying When You Buy Organic Foods”, by Steven Shapin, his main goal in the essay proves targeting both organic and non-organic consumers to understand the controversy of buying organic products. His points comes across clear and allows the readers to follow along without confusion. Shapin’s points in targeting bigger organizations in regards to the industry, health, and the virtue proves his point that buying organic food proves not always having the best

Organic farming began just as the effects of the Great Depression waned in the United States, and has seen a dramatic increase in popularity most recently (AG). The sales of organic food increased by about twenty percent a year throughout the nineteen nineties (Marcus). That is over ten times the rate of increase that conventional food experienced during the same period of time (Harris). As recently as twenty eleven, about seventy-eight percent of American families admitted to routinely purchasing organic food (Organic). Organic food sales jumped from three point five million in nineteen ninety-seven, to thirty-one million in twenty eleven (Organic). However, while organic food may seem better than conventional food, numerous studies have shown that it is not distinguishably more healthful, nutritious, palatable, or safe.

Long time ago, the idea of organic food was something ridiculous, nobody cared. But after proved the nutritional benefits and better taste of organic food, many farmers become interest in grown organic food. The article Beyond Organic by Eliot Coleman said that “Now that the food-buying public has become enthusiastic about organically grown foods, the food industry wants to take over.”

Organic farming began in the late 1940’s in the United States, and in recent years it has seen a dramatic increase in popularity (Rubin 1). The sales of organic food have been increasing by about 20 percent a year over the past decade (Marcus 1). That is over ten times the rate of their conventional counterparts (Harris 1). There are 10 million consumers of organic food in the United States, yet organic food represents only one percent of the nation’s food supply. This year organic food sales are expected to rise to six billion dollars (Rubin 1). So what is organic food? Organic food is that which are grown without hormones, pesticides, or synthetic fertilizers. Also, the soil in which organic food

Since 2006, the demand and market for organic food and drinks has been increasing exponentially. The demand for these organic products is growing much faster than the supply. Consumers are more interested in where their food is coming from and how it was made. “The latest data shows organic sales in Canada have tripled since 2006 to 3.7 billion dollars a year.” (Global News). There are not enough farms in Canada that produce and supply organic products to meet the high demand. It takes approximately three years for an average farm to convert to an organic farm. However, the whole farm does not have to be organic, a portion of the farm can be converted to organic while the rest operates the way it was previously. The demand curve has shifted

providing a theoretical lens through which to examine consumers’ underlying considerations to purchase organic food. It is

Commentary 1: high prices of organic food are an obstacle for the improvement of people’s health.

The worries of health and environmental issues in the United Kingdom have increased the demand of organic food mainly to reduce ‘off-farm inputs’ and to increase health nutrients in our daily intake . The UK is a MEDC, because it is considered as a rich country, and due to the UK receiving raw resources from LEDC. The UK uses these raw materials for the outcome of any industry. One of UK’s biggest industries is the food industry, because everyone needs food and nutrients in their body, to be able to stay alive. The food industry is a primary industry and a secondary industry because the food industry consist of growing raw crops, making it a primary industry, and the food industry also uses these raw crops to make other food/products. The reasons why health and environmental concerns in the United Kingdom has increased the demand of organic food is that there are physical damage and effects on the environment , the society is motivated to be healthier , and lastly it’s worth the price .

In a study done by Annals of Internal Medicine, it has been proven that the consumption of organic products has the same nutritional values as conventional products. Although quality nutrition is not a factor in the cost for organic products, the real cost is stemmed from the neglect of pesticide in the product. Ultimately organic products are raised in a superior environment unlike conventional products which are raised in cost effective methods. Non-organic products mature in ghastly conditions. Products purchased by a future consumer should ultimately benefit them. Avoiding mature products from vile origins is the reason I believe organic products are worth inflated costs.

Whilst referring to the studies done in the US, it is seemingly apparent that the demographic variables which herby refer as the income distribution, is significant predictors (Bartels & Reinders, 2009). The research on this particular subject has proven that income positively influenced buying behaviour which in turn may cause the perceived buying behaviour towards the organic food. A same result has shown in Germany as well (Bartels & Reinders, 2009). In Germany, demographic variables such as household income distribution have played an important role in developing significant effect on organic buying behaviour. However, the overall inevitability of the demographic characteristics was relatively different, taking into consideration of research carried in various Western countries. These findings