Today's Hard|Forum Post
Today's Hard|Forum Post

Saturday June 17, 2017

The Government May Not Let Amazon's Big Deal with Whole Foods Happen

Yesterday, Amazon announced it would be acquiring Whole Foods Market in a deal valued at $13.7 billion. This partnership is expected to make online grocery shopping more of a ubiquitous reality, but it is bad news for anyone else that is in the business of selling groceries: both smaller, family-owned grocers and larger chains expect devastating impact from the merger. This has not gone unnoticed by the US government, which is being urged to conduct a review on the merger's legality and possible harm to the economy.

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After the deal was announced, U.S. Rep. Ro Khanna (D-Calif.) urged the U.S. Department of Justice to conduct a review on the merger's legality and possible harm to the economy. "I am concerned about what this deal means for suppliers and neighborhood grocery stores," Khanna said in a statement. "The Justice Department and FTC must undertake a review that considers not just the merger's impact on prices, but also the impact on jobs and wages. We need to reorient antitrust policy to factor in the harm that economic concentration causes for American workers."

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