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A Comparative Analysis of the Grocery Chains: Whole Foods Market and Kroger Co.

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A Comparative Analysis of the Grocery Chains: Whole Foods Market and Kroger Co.
A Comparative Analysis of the Grocery Chains: Whole Foods Market and Kroger Co.
Liz Broxton
Sharon Neely
Joyce White
Columbia College

Abstract
The purpose of this paper is to conduct a comparative analysis of two grocery chains, Whole Foods Market and Kroger Co. Research material obtained from each company will allow judgments to be made concerning potential investment decisions. This study will focus on financial statements such as the income statements, balance sheets and cash flows from each company over the past three years that allow investors the needed insight about a company’s performance. In addition to these areas, we will be looking at opportunities, and trends within the market that are also useful in making effective investment decision. The structure in which each company operates and the products and service each provide will also help us understand the ways each company is strong and where we might find weaknesses. By comparing SWOT analysis, key ratios and financial data our conclusion will determine which of the two organizations provide the best opportunities for investors.

A Comparative Analysis of the Grocery Chains: Whole Foods Market and Kroger Co.
Brief history Whole Foods Market began operations during 1980 in Austin Texas and experienced rapid growth as a grocer providing high quality natural and organic food products. They are currently the leader within this industry as the potential markets are receptive to the healthy options that they provide. In addition to the operations held within the United States Whole Foods has also expanded into the UK and Canada and acquired other natural grocers such as Wild Oats and the Bread of Life. Kroger incorporated in 1902 and to many the company name provides some reference to a grocery store, however they also operate other large retailers such as City Market, Dillon’s, Jay C, Food 4 Less, Fred Meyer, Fry’s, King Soopers, QFC, Ralphs and


References: AnnualReports.com. (2010). The kroger co. 2010 form 10k. Retrieved from http://www.annualreports.com/Company/195 Available-For-Sales Security Definition (n.d.) B. M. Jordan.(2012). Projecting Cash Flow and Earnings. Fundamentals of Investments 6th edition(pp.581-605). New York, NY: McGraw Hill/ Irwin. Block, S. Hirt, G. & Danielsen, B. (2011). Foundation of Financial Management. New York, NY: Mcgraw-Hill.Irwin Summary of Kroger CO (2012). Retrieved from Http://biz.yahoo.com/e/120327/lr10k.html Whole Food Market Inc-10-K- Annual Report (2011) Retrieved from http://yahoo.brand.edgar-
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