Which have affected the growth of organic food market

Assignment Help Operation Management
Reference no: EM132280607

Many retail stores began to focuses on selling organic foods starting in the late 1990s. The market for organics food really grew after Whole Foods started to expand. Whole Foods began as a small Austin based retailer that focused on selling natural products in the 1980s. It gradually developed and spread through the purchase of other smaller organic food retailers. Now, it is a nationally known retailer with a strong focus on selling natural foods to an upscale target market.   Wholes Foods has successfully positioned itself as the premium organic retailer based on its commitment to offering superior products. It created many innovated ways to promote the concept of organic, natural foods to young professionals and eco-friendly consumers.

Organic products are typically priced higher than regular products. Sometimes the price differences may be 30 to 40% higher depending on the retailer. Organic fruits and vegetables are grown with little or no pesticides which can be harmful to people and the environment. Meats and dairy products are sourced from farms that follow strict guidelines that limit the use of growth hormones on animals, and pesticides on animal feed. Because of the way that the products are produced, organic and natural products result in higher costs.

The government has developed guidelines which determine whether a product can be labeled as organic. Companies selling these products must follow these guidelines or face negative consequences from the government or consumer groups.

The success in the organic market has not gone unnoticed as larger retail chains have begun to offer extensive organic product lines to appeal to the same customers. HEB and Kroger now have wide-ranging organic product lines in both their produce, selected meat and general grocery sections. Their organic products especially produce are just alternatives products lines because the regular nonorganic products can also be purchased. This is an example of retailers responding to market changes.

Questions

After reviewing this case answer the following question:

1. Explain the major environmental variables which have affected the growth of organic food market. It may be helpful to read chapter Chapter 3 on marketing environment.

Reference no: EM132280607

What is the demand during lead-time

What is the optimal interval (in working days) between orders? What is the demand during lead-time? What is the inventory position immediately after an order has been placed?

Marketing strategy options

Suggest two (2) marketing strategy options that Golds Reling, Inc. could implement. Next, select the option that you believe will be most effective for the new product launch.

Distributor unit contribution-percentage contribution margin

An independent film distributor is getting ready to release a documentary video entitled, The Unedited Truth. The distributor will sell the video through specialty retailers. 

With special emphasis on the quality problems involved

Walk through a supermarket and identify some products for which work has been transferred from the household kitchen to food-processing factories. In addition, identify some p

Accurately be more suited for machines or human

There are some abilities (functions) that are more suited for humans than machines and others fall into the reverse arena. Would making a series of calculations rapidly and ac

Gossip is common in lot of businesses

Gossip is common in a lot of businesses. We are programmed to gossip, it was once a method of communicating risk- like watch out this area has a saber tooth tiger in it and th

Industry analysis for middle eastern restaurant

Industry Analysis for Middle Eastern Restaurant that will be located in Medford, Oregon USA. Serve Falafel, Shawarma, Kebab, Hummus, Baba Ganoush, and Kabsah rice with chick

Example of questionable advertising

Locate an example of a questionable advertising (ie: junk food for children). Explain why it is "questionable" Do you see it as ethical or not? What regulations apply to this

Reviews

Write a Review

 
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd