Complete 6., and 7 on 4 pages, then provide a power point covering strategy as well as implementation separate with the remainder of pages left over/ possibly 4-5 page power point with picture and bullet points. Reference page for all work.
6. Strategy suggestions and alternatives analysis
This is the most essential part of your paper. Refer to your chapter 5 worksheet. For EACH of the suggested strategies, your analysis should address: what are the advantages and disadvantages of this strategy, what are the possible alternatives and what are the advantages/disadvantages of these alternatives, what company strengths enable the company to use this strategy, what company weakness may prevent the company from using this strategy. How this strategy will help the company to improve its long-term performance and strategic position. Always remember your strategy suggestions should be based on your internal and external analysis. All the sections should be related, not stand alone!
In order to implement the strategies you suggested, you want to cover the following topics. You dont need to cover all of them. Choose the relevant ones.
What kinds of programs and policies should the corporation develop to implement the recommended strategies? Who should develop the programs? Who should be in charge of the programs?
Are the programs feasible (e.g., financially)? What do you recommend for a budget and a schedule for implementing each of the recommendations? How will you capitalize your recommendations?
What new policies and standard operating procedures does the corporation have to develop?
Can the corporations current information system provide sufficient feedback to measure the effectiveness and efficiency of the implementation activities and performance? Can you pinpoint performance results by area, unit, project or function? Is the information timely?
Are adequate control measures in place to ensure conformance with the recommended strategic plan? Are appropriate standards and measures used? Are accountability systems capable of recognizing and rewarding good performance and taking corrective actions for poor performance?
What new performance measures and evaluation and control techniques do you recommend for your preferred alternatives?
Use summary of internal and external analysis below to complete 6. Strategy suggestions and alternatives analysis, 7. Implementation. Also Worksheet 5 is attached.
Amazon/ Whole Foods
4. External Factors: (The OPPORTUNITIES AND THREATS in SWOT)
1. External Factors
1. Societal, Political, Regulatory, Community Factors 12-14
Although strength in the United States economy will be at a halt or take a slight dive in the next upcoming years, industry revenue growth is still expected to increase. Despite our current unfortunate situation, shares of Amazon, the worlds biggest online retailer, climbed over 5% to a new all-time high for the stock giving the colossal company a market value of more than $1.1 trillion (Variety, 2020). Industry will continue to grow steadily but profits will increase as well.
Societal values and lifestyles are one of the key factors that will impact the business. In recent years, theres been an increase in healthy eating which has created a greater demand for premium products such as organic food, which has increased industry revenues. Affluent households are more likely to buy more from sources of brand names and thats because Affluent households with higher income have more disposable income to spend on specialty brands or retailers such as trader joes. That being said, this would be an advantage for the industry. In general, the rural population tends to visit more groceries and supermarket stores more frequently, increasing foot traffic in supermarkets and groceries stores.
With technology being part of our everyday lives, its no surprise that it has an impact on the industry as well. Because of technology, online competition is expected to increase in popularity, such as demand for online grocery shopping. This may not be good news for everyone as there are some stores that depend solely on foot traffic.
2. Industry and Competitive Analysis 15-21
In the retail industry, there are a lot of competitors. Below is a list of well-known competitors in the retail industry:
Some of the brand names mentioned above have been successful over the years therefore, it makes the force strong for the industry. As for the pace of technological innovation in the Production process, grocery retail must remain competitive and innovating by investing in new technologies as other stores are striving to sell natural and organic products. Technology is constantly improving therefore, its imperative to everything up to date and this will keep the force strong. As for the pace of technological innovation, its important to newer models in equipment in hopes to increase the overall quality of the products. As a result of having better equipment to perform better, this will be a strong force.
There are a couple different ways in which rivals differentiate their products and/ or services. One may choose to take the time to understand customer needs and figuring waves to improve the estimated delivery time. Offering a location near by for pickups has always led to positive results and feedback from customers. One may choose to lower their prices while providing good quality products. If the quality of the product is as good as the competitor or even better but at a lower cost, this will attract more customers. Sometimes price cuts increase the revenue as long as the product cost isnt too high. With so many competitors in the industry, customers, especially millennial’s are expecting to purchase products at a low cost.
3. Summary of External Factors 22
All these external factors present an opportunity and threats for Amazon/wholefoods. As the world evolves, an organization such as this one, just by analyzing the macro environment factors internet provides opportunities for e-commerce by providing consumers the ability to make purchases right on our smartphones, people are likely to make purchases online. The availability to make purchases right on our smartphones, people are more likely to make purchases online because of the convenience.
5. Internal Factors (The STRENGTHS AND WEAKNESSES IN SWOT)
1. Companys Competitive Capabilities
Wholefoods focus on quality products and natural and organic foods has been key to its success. Wholefoods, under Amazon has many competitive advantages and some disadvantages in the industry. These competitive capabilities will dictate role it will play in this tough industry:
Wholefoods technological advances which will improve innovation and improve process. Amazon has dominated the industry through its sophisticated use of e-commerce and ability to have an advantage in cost this in turn will aid Wholefoods in becoming a key competitor.
Wholefoods image is to provide high quality and organic products. Brand Name is well known among sophisticated and customers with higher incomes. Customer focused approaches are not seen in many groceries stores but others can duplicate such as traders Joes.
Whole Foods has maintained and led the industry in offering organic foods but many other competitors who also operate in this segment. Customer base is primarily households with large disposable income
No, Whole Foods has 500 store fronts across the US while competitors such as Costco has 533 warehouses in the US alone.
No, operations are mostly in US and UK as oppose to giants like Walmart that operate across the globe