CASE 13
Whole Foods Strives to Be an Ethical Corporate
Citizen
CASE NOTES FOR INSTRUCTORS
This Whole Foods case examines how Whole Foods has applied a set of core values to create strong
relationships with a variety of stakeholders. Whole Foods has adopted a stakeholder orientation.
While it considers consumers to be the most important stakeholder, the firm also considers other
primary stakeholders such as employees, suppliers, and shareholders as well as secondary
stakeholders such as the environment and special-interest groups.
Whole Foods was co-created by John Mackey, now the company’s CEO, in 1978. The founders
recognized the need for a natural foods store, and Whole Foods adopted the mission statement: 1)
whole foods; 2) whole people; 3) whole planet. The company has adopted a number of core values
QUESTIONS AND DISCUSSION
1. How has a commitment to corporate values contributed to Whole Foods’ success?
The commitment that Whole Foods has to its values has allowed it to succeed because it gives
2. Describe how Whole Foods’ adoption of a stakeholder orientation has influenced the way it
operates.
In terms of its customers, Whole Foods creates a welcoming environment with friendly staff
Case 13: Whole Foods Strives to Be an Ethical Corporate Citizen 115
3. What are some ways that Whole Foods might have neglected certain stakeholders in the past?
Whole Foods neglected stakeholders in some of its acquisitions. When acquiring some of the
smaller grocery stores in the neighborhoods it was entering, Whole Foods did not always
adequately consider its impact on the community and thus created some unnecessary tension.
Whole Foods also created tension in the acquisition of Wild Oats because it appeared as though
it wanted to monopolize the market.
The actions of the CEO in the Wild Oats case as well as in the health care discussion caused
ADDITIONAL RESOURCES