In an interesting move for Amazon, the company bought Whole Foods recently for almost $14 billion.
Amazon’s goal is to dig deep into the market share of other grocers such as Kroger and Walmart, but it’s anyone’s guess as to how the company will fare in a field where profit margins are next to nothing.
With Amazon buying into nearly every retail area they can, they have been blamed for the closing of hundreds of businesses such as Sears, JC Penny, and many others. So, it’s no surprise that grocery retailers are interested to see how things will go.
As of now, it’s unclear how Amazon will handle the business, and if they have any plans to bring their innovations in other fields – such as drone delivery – to the market.
For now, it’s a waiting game, but as Joe Agnese, senior food retailing analyst at CFRA says, “Once Amazon is a player in the industry, anything can go.”
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