Hello, Rowan! Thanks for all of the information about Whole Foods. I, too, own all tech stocks, all of which are doing terribly at the moment, and so I am actually trying to diversify. I was intrigued with the new Whole Foods store in San Francisco. An investor from the Peter Lynch school might notice all the new European cars in the parking lot, the wait to get a space to put the 'Beemer, the beautiful floral and produce displays, the crowds, the knowledgeable and empowered staff, etc. I liked the concept of a superstore that was all natural. Anyone could find a lot to eat there. They have two brands of frozen vegetable pies, an item that is hard to get here. However, the prices were ridiculous. Chocolate malt balls $6.98 a pound, twice the price as down the street. Medium grade incense $8.00 a bundle. We have Trader Joe's here, which is privately held and has a smaller selection, but which is much less expensive, just 2 miles away. And people were oohing and aahing, but their carts weren't full. They are a collective, non-union, which is an interesting idea, but which has caused pickets at some of their stores in strong union cities, cutting into profits. Some of their same store sales are very soft. I think even the most affluent yuppies these days are watching their pennies most of the time--you would really just have to want to throw your money away to shop there regularly. Still, for the environmentally conscious investor, there are aspects of this that are possibly tempting.
I'd appreciate other opinions!
Thanks!
Christine |
