NEW YORK (AP) — Some small and mid-sized food companies are wondering how Amazon’s planned purchase of Whole Foods might affect them.
The unknowns include whether Amazon might change the grocery chain’s food offerings, which now include thousands of products from small and mid-sized businesses.
A key question for many companies is whether Whole Foods would place less of an emphasis on buying locally produced and innovative foods in the future.
Whole Foods’ buying strategy, which appeals to many consumers, has made it possible for small players to get products into regional stores.
But activist investors who advocated a sale of Whole Foods also demanded that it cut the number of products it offers to lower its costs. They contended that buying small amounts of so many food items eroded the company’s profits.
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