Whole Foods Pestle

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PESTLE Analysis Political Factors “A Healthier You” Government Strategy Reporting of organic prices. Safety Inspections Services. Evaluation: POSITIVE impact Economic Factors GDP: ↑ 3.9% in the 3rd qtr Real Personal Consumption expenditures ↑3.0% in 3rd qtr Disposable Personal Income ↑ 6.1 % in the 3rd qtr US Business Cycle: At “slump”/ Wages/Labour European Markets: Weak dollar against Euro, Surging Energy Prices, Increasing Interest Rates Evaluation: MODERATE impact PESTLE Analysis Socio-cultural Factors Population Demographics: aging and longer life expectancies. Increasingly more health conscientiousness population. Social pressures regarding the environment and animal welfare. Trend towards eating out…show more content…
SWOT Analysis Strengths Uniquely Mission Driven. High Quality Standards. Clearly Positioned Brand Image. Large geographical spread of stores. First Mover Advantage and Market Leader for 25 years Experienced, Innovative Merchandisers. Knowledgeable, Friendly and Experienced Staff. First National “Certified Organic” grocer by Quality Assurance International. Largest grocery store in Manhattan. Ranked by Fortune magazine as one of top 100 companies to work for in America, 5th place in 2007. SWOT Analysis Weaknesses High Prices Availability of Suppliers Growth of Sales has slowed from double digit figures in the 1990’s to 7-9 percent range in 2001 – 2005. Growth Stage of Business Life Cycle Leveling off Approx. 64 stores less than 30,000 square feet, against strategy Comparable Store Sales Growth fell in 2005. Perishables accounted for 65% of sales, potential for high wastage. SWOT Analysis Opportunities Scope for gaining market share of total grocery stores sales in US (natural & organic foods hold 5.5% - 2005) Acquire/merge with competitors. Market – mostly 18 to 24 yr olds and 55 to 64 year olds, target other groups e.g. convalescent, children. Encourage greater sales in areas other than fresh fruit and vegetables. Use major stores as advertisement opportunities Expansion within United States and internationally (stores in 31 US states). Cost cutting measures and reduce prices. SWOT Analysis
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