Organic Growth: Rethinking Segments To Find Opportunities

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Executive Summary

In a belt-tightening time, premium-priced organic foods may seem like a losing proposition. But as Wharton Professor Ian MacMillan walked through the aisles of a local Whole Foods supermarket recently, he saw many strategic opportunities arising from understanding changing customer needs, attracting new segments, and redesigning offerings. "You need to expend your imagination to keep profitable old segments and entice new ones," says MacMillan, a faculty member of Wharton's Advanced Management Program and academic co-director of the Strategic Thinking and Management for Competitive Advantage program. "Price cutting is the most mindless thing to do."

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