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Amazon Acquisition of Whole Foods: Reasons and preliminary results

M2070(GB)
Résumé
The current case study seeks to explore the strategy that Amazon has adopted to expand its market share in the grocery market. This case study will look at Amazon acquisition of the American grocery chain, Whole foods, along with investigating the motivations and the consequences of such acquisition. On the 28th August 2017, Amazon.com, Inc. acquired Whole Foods for $13.7 billion. Along the acquisition, the company has not only acquired the ownership of its stores, but also bought the Whole Foods brand, giving Amazon their first physical walk in grocery stores. This is a significant and strategic move for Amazon as prior to this, its business was only based on online shopping. Amazon had previously tried to gain access to the grocery market, but had been relatively unsuccessful, for the first time with Whole Foods, they have a strong grocery brand, a wide spread of over 400 stores, predominantly in the US and an even faster, more efficient supply chain. However, Amazon has also faced some negative backlashes, which made the news especially with regards to its approach to HR management. In effect, Amazon has been relentless with the implementation of their management style and internal culture, imposing it on all aspects of Whole Foods.
Objectifs pédagogiques
Students will be able to understand the following:

- The trends in US grocery industry.

- The strategies for new market entry (penetration strategy).

- Penetrating new market through company's acquisition.

- The positive and negative consequences of integrating two brands post-acquisition.

- The importance of the internal culture.
Mots-clés
Grocery industry - Acquisition - Results - Penetration strategy - New market - Culture - E.commerce
Public
Students of Master, Mastère spécialisé
MBA
Secteur d'activité
Food Industry
2019
Livraison par lien de téléchargement
11
1h30
52 - Commerce de détail et réparation d'articles domestiques
Oui (9 pages) - incluse

Adhérents : 180,00 € HT / Non adhérent : 360,00 € HT
Campus*
* Usage illimité pour un campus sans limite de nombre d'étudiants.