Problem IdentificationProblemWild Oats has been affected by 4 lines which fork out weakened into the company s profitability . First is stiff competition from its chief(prenominal) rival Wholefoods whose president admittedly would prefer niche foodstuff store domination rather than coexistence . The second is competition from retail supermarkets much(prenominal) as Walmart which have entered into the natural foods industry and as much(prenominal) have caused problems in relation to supply The third problem is the precedent acquisition of Wild Oats during an era of rapid magnification of many stores that after a transition period br were facilitate not profit adequate . The last problem is a decompress growth footstep in sales at the rate of 1 .3 share one-year growth as compared to Wholefoods which boasts an annual growth of 10 percentAnalysis of ProblemWild Oats has several creams available to it if its wants to be able to overcome its current problems .
The first option would be to carry off its current poison pill tactic and render a interested investors to own more than a 15 percent share of the company . This would result in an excerption of much infallible capital enabling Wild Oats to establish new methods of education in to compete with its rivals . The second option it has available would be to consolidate the stores it has to strong markets and sell sullen or finale the stores with low profitability or ris que competition in the area . One of the rea! sons Wild Oats ran into problems in the first describe was due...If you want to get a encompassing essay, order it on our website: OrderCustomPaper.com
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