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    Amazon Question 2

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    Kshitij KJ Joshi
    The synergy between Amazon and Whole Foods allows both companies to achieve greater value and market share than if they remained separate. Key synergies include Amazon gaining quick access to the large grocery market and improving online and brick-and-mortar distribution of private labels. It also provides Whole Foods a way to cut prices and compete with rivals. Additionally, Amazon benefits from Whole Foods' geographic presence and offline shopping data, helping Amazon better understand shopper behavior.

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    Amazon Question 2

    Uploaded by

    Kshitij KJ Joshi
    40 views1 page
    The synergy between Amazon and Whole Foods allows both companies to achieve greater value and market share than if they remained separate. Key synergies include Amazon gaining quick access to the large grocery market and improving online and brick-and-mortar distribution of private labels. It also provides Whole Foods a way to cut prices and compete with rivals. Additionally, Amazon benefits from Whole Foods' geographic presence and offline shopping data, helping Amazon better understand shopper behavior.

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    Mergers and Acquisition

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    The synergy between Amazon and Whole Foods allows both companies to achieve greater value and market share than if they remained separate. Key synergies include Amazon gaining quick access to the large grocery market and improving online and brick-and-mortar distribution of private labels. It also provides Whole Foods a way to cut prices and compete with rivals. Additionally, Amazon benefits from Whole Foods' geographic presence and offline shopping data, helping Amazon better understand shopper behavior.

    Copyright:

    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
    40 views1 page

    Amazon Question 2

    Uploaded by

    Kshitij KJ Joshi
    The synergy between Amazon and Whole Foods allows both companies to achieve greater value and market share than if they remained separate. Key synergies include Amazon gaining quick access to the large grocery market and improving online and brick-and-mortar distribution of private labels. It also provides Whole Foods a way to cut prices and compete with rivals. Additionally, Amazon benefits from Whole Foods' geographic presence and offline shopping data, helping Amazon better understand shopper behavior.

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    © All Rights Reserved
    Download as DOCX, PDF, TXT or read online from Scribd
    Download as docx, pdf, or txt
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    Q.2. What is the synergy between Amazon and Whole Foods?

    Synergy refers to the value generated by the combination of two or more separate entities which is
    greater than the sum of the values of each of them individually.

    The following are the synergies that can be observed from the Amazon and Whole foods
    partnership:

    1. This partnership enables Amazon to quickly capture a large chunk of the $674 billion grocery
    market in US.
    2. Amazon will have an opportunity to increase their business by pushing private labelled
    brands in reputed and well-known stores across US, thus improving both the online as well
    as the brick and mortar distribution channels.
    3. This provided the management of Whole Foods with an opportunity to turn the tables in the
    market which was hit hard by Wal-Mart and Kroger by introducing price cutting measures
    with Amazon’s cost cutting strategies at its helm.
    4. This partnership allows Amazon to achieve a substantial scale/volume and geographic
    distribution which would have been very difficult to build from scratch.
    5. Amazon will now be able to access the offline shopping data and patterns of people which
    supposedly differ from the online shopping in which Amazon excels in. This gives Amazon an
    opportunity to learn the shopping patters for the majority of population thus possessing a
    higher chance of claiming a chunk of the market share.
    6. It gives Amazon the opportunity to drive towards its goal of disrupting the grocery industry
    supply chain.
    7. Amazon has an opportunity to implement the Amazon Go program on a larger scale at the
    stores of Whole Foods.

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