The power of bargaining between the buyers is extremely weak as in the situation of this particular organization (Fabricant, 2006). This is due to the fact that the base of customers are the ones looking for and showing preferences towards natural and organic foods and they are ready to pay the cost provided for obtaining the products, and hence, are not affected by the increase in the prices of the products.
Threats imposed by New Entries
There is huge threat due to the new entries and is known to be the main factor of concern for the business organization (Fabricant, 2006). This threat is extremely high due to the fact that a number of large scale organization have been showing interest to enter the industry as supermarkets providing organic and natural foods.
Sellers’ Bargaining Power
In the present era of globalization, there are only some restrictions on the supermarkets when it comes to select the natural and organic items of food. Therefore, the organization holds strong competitive advantage due to the less power to bargain amongst the suppliers.
Threat of Substitute Items
There are a number of substitute products that impose huge threat, however, these substitute products do not impose huge threat over the organization of Whole Foods Market. However, the only substitute that imposes huge threat is that of conventional items of food that are not in much preference of the customers (Van, 2013). However, it has been seen that the competitive organizations such as Wal- Mart and Shop- rite, seem to be within the scope to provide a number of different natural and organic items of food.
Power held by the Stakeholders
While it is obvious that the whole food market is highly successful, there are a number of tough phases that lead towards increase in the degree of competition amongst the rivals (Fabricant, 2006). Due to the size of the industry being extremely large, there are a number of competitive organizations in the industry that impose huge power over the Whole Foods Market.