Southern Grocer Value Chain Analysis Essay

Retail super-giant Wal-Mart has fought its way to becoming the world's largest company. Wal-Mart’s legendary supply chain technology has allowed them to break the three-day barrier that some economists in the eighties felt that it was unbreakable. In other words, Wal-Mart is often able to replenish items on the Wal-Mart shelf in less than three days – not from the central warehouse to the shelf, but from the manufacturer to the shelf. With quick and reliable 2-day turn around, Wal-Mart is able to maintain lower levels of inventory and still meet customer demand. These lower inventory levels result in either a reduced floor plan with lower carrying costs and lower interest expense – or a greater diversity of products on the store shelves.

The organic food industry has seen a huge spike in growth that is expected to continue into the future due to an increase in consumption. This will provide Whole Foods Market with huge opportunities. In addition, a wave of ethical and responsible consumption has swept across America. Whole Foods’ decision to pursue sustainable activities will certainly give consumers an added incentive to purchase its organic products.

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

Sales of organic food have risen steadily over the past couple of years, reaching nearly $30 billion in 2011, or 4.2% of all U.S. food and beverage sales, (Adams). Many people believe that organic foods are ultimately the better choice when it comes to health due to the absence of pesticides and hormones. But other people—especially those whose food budgets may be more defined—wonder if organic food is really worth the inflated price tag. Despite the price, Organic foods are worth producing and consuming rather than conventional foods due to the immense benefits they provide.

Today an increasing desire from consumers is to have healthy and organic product offerings. While

Now, I would like to discuss the benefits that our organic-based business will offer to our target customers. First, as far as the functional benefits are concerned, one of the key factors is that organic produce offers the consumer a healthier option when it comes to one’s eating habits. In regards to chemicals, organic produce refrains from using any kind of synthetic pesticides, fertilizers, fungicides, herbicides or synthetic preservatives and additives. As such, the amounts of hazardous residues within organic foods are basically restricted to the lowest amount (“Organic”, n.d.).

Author, Steven Shapin, in his essay, “What Are You Buying When You Buy Organic,” presents controversy reasons to buying organic food. Shapin’s purpose includes defending his point that organic food proves not always having the best results. He justifies his approach to buying organic foods with an argumentative appeal to the necessity of buying these products. Shapin questions the value of organic foods in larger organizations by targeting the industry, health, and the virtue.

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.”

The purpose of this paper is to provide a preliminary internal look at Whole Foods Market, which was ranked 44th last year as Fortune’s Top 100 Companies to Work For. And even though the company is ranked 44th on Fortune’s top 100 and 218th on Fortune’s 500 top companies, they have remained in Fortune’s rankings consecutively for the past 18 years. This paper will offer a look at the organization’s vision, mission, and core values, as well as its’ major strategic objectives. I will also determine how and in what ways the theory of Full Range Leadership Development can support the core principles of Whole Foods Market’s strategy.

Since organic products have grown in popularity, it is believed that many grocery stores have begun “green-washing” their produce in order to call it organic. In response to this, SmartMart developed “Organics 2.0,” a new set of standards for its produce suppliers to follow. Based on this information, we were asked to decide if SmartMart should continue to pursue this new development. Because organics standards currently seem lax, I chose to move forward with this by implementing the new standards throughout the entire supply chain. After I presented my decision, Terri Phillips, a buyer for SmartMart, stated that our suppliers are excited about these new changes but question the risks of changing practices and ask that they be able to sell to other stores.

After constant request from the customers for the healthy food items, company Q has added few organic items in the stores with the high profit

Costco is among the leading global retailers which provide customers a wide range of merchandise, ranging from small to well-known brands. The company began operations in 1983. Over the years, Costco has been a retailer in low cost membership-only leader, in warehouse club of merchandise. Moreover, Costco does not offer frills warehouse business models as its competitors do.  Costco’s major competitors are BJ’s Wholesale Club and Sam Club (Costco, 2010).

With the world’s population continuing to increase, the demand for food is higher than ever. This increase in food demand also calls for more efficient ways of growing and providing the food. Two methods that are very controversial are the organic and conventional method. While many people support the organic method because of its known benefits, others feel that it is an over inflated industry that cheats consumers out of their money. But recently many studies have disproved those critics. These studies prove that Organic food is a better choice than conventional because it is better for the environment, avoids the use of chemicals, and is generally more beneficial.

The third study also indicates the existence of possible external variables given the location in which it was conducted. According to the text, “the researchers stood outside a small organic specialty shop and interviewed 100 customers as they exited the shop” (pg. 63). Based on the choice of location, it can be argued that the results of this study mainly coincide with the preferences of consumers with a high interest in organic products.

Within technology and the value system, this called for an emphasis on media relations to disseminate information to the local community and its leaders. Solid communication practices, i.e. strategic communications, was of the utmost importance to gain the respect and acceptance of the population.