Whole Foods Entering Foreign Market

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Executive Summary: Whole Foods was founded in 1990 with a mission to offer good, wholesome food with an emphasis on natural and organic food. Through a series of acquisitions and expansions Whole Foods is a major grocery store representing organic products in the United States, Canada and the U.K. It is consistently ranked in the top 100 best companies to work for and the top 100 best Corporate Citizens. Business Proposal: This document outlines the possibility of Whole Foods expanding into the German Market. Considerations are explored in the realm of German Culture, the Organic Food market, Competitors, Pros and Cons, Entry and Exit Strategy, and Human Resources strategy to declare whether or not Germany is an appropriate fit for…show more content…
Whole Foods is doing well financially and the free cash flow at hand gives Whole Foods the means to expand by acquisition, if it so chooses. Legal Issues: There have been legal and ethical issues that have plagued Whole Foods in the past and they are detailed below. It is pertinent that Whole Foods resolve or adequately address these issues before expansion into a new market. Labeling In 2008, The State of California vs. Whole Foods: lawsuit filed against WFM for failing to label its 365 line of body washes, gels and liquid dish soaps that contain 1.4-Dioxane, a cancer causing chemical. According to the FDA, “organic” product standards of 95% or more certified organic standards apply to foods and not to cosmetics. However, under California Law “Proposition 65”, consumer products that contain toxic levels of 1,4 Dioxane must have warning labels stating that they may cause cancer. Ethical Issues: The 365 Label Whole Foods was started as an opportunity to improve the livelihood of the general community. However, critics contend that WFM has promoted the 365 label at the expense of local producers, who now cannot compete with the giant label. GMO Foods WFM claims to be the biggest retailer of organic foods in the US however on closer examination, it turns out that less than half of what they carry is organic, and that they do carry products that contain GMO, which in itself
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