Whole Foods Executive Summary

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March 24, 2015 March 24, 2015 Presented by: Kat ARmstrong Gerardo arias Greg guzman viviaNna lim erik sitko Presented by: Kat ARmstrong Gerardo arias Greg guzman viviaNna lim erik sitko FINANCIAL ANALYSIS whole foods market vs. the fresh market FINANCIAL ANALYSIS whole foods market vs. the fresh market company overview The fresh market, inc. The Fresh Market, Inc. (TFM) is a specialty retailer founded in North Carolina in 1982. The company’s initial public offering was in November 2010. As of January 31, 2015, TFM operates over 160 stores in 27 states across the U.S. TFM is focused on creating a quality shopping experience for customers. The company offers high-quality food and products, with an emphasis on fresh,…show more content…
The cash and short-term investments increased significantly from 2011 at 746.28 million to 1.32 billion in 2012. The short-term investment in particular, grew to 1.13 billion in 2012 from 442.32 million in 2011. WFM sped up their growth by opening stores in underserved areas such as Detroit, Wichita, and Glen Mills in 2012, which explains the increase in property, plant and equipment assets to 2.19 billion. Currently, WFM has 404 locations in US, Canada, and UK. The steady rollout of new stores also explains the increase in fixed assets of land and improvements from 2013 to…show more content…
The demand for organic foods continues to be higher there than almost anywhere else in the United States. Five years ago, California accounted for 36% of organic sales in the United States, which was by far the most of any state. In 2015, California is still the leading produce in organic fruits and vegetables. The USDA claims that city-dwellers and those on the West Coast are the two demographics that are most likely to eat organic food (Billings, 2015). Finally, downswings in the economy as a whole may influence consumers to purchase more fiscally conservative products affecting TFM and WFM’s same-store sales and profit (Perkins, 2015). All-in-all, every company faces risks. WFM is a stable company with the ability to cope with potential threats that may materialize. TFM is a newly publicly-held company. Given their CEO’s sudden and unexplained resignation in January 2015, and their misstep evaluating the ability to penetrate their target market in California, we do not feel confident that their management has the ability or resources to cope with challenging risks their industry inherently faces. final

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