MGMT425 Dr. Cummings
1
HBR Case Notes Assignment #1
Amazon Fresh: Rekindling the Online Grocery Market
Due: Dropbox Submission
Case Description:
In 2007, Amazon decided to make a foray into the grocery market by launching Amazon Fresh. This
service allowed customers to order groceries online, which would then be delivered to their homes
the same or next day. AmazonFresh originally targeted affluent customers, emphasizing extreme
convenience at a reasonable price. Groceries represent the largest single retail category and is one of
the few retail categories that has not migrated online. However, the grocery industry is highly
mature, fiercely competitive, and features low margins; previous attempts to take the industry
online failed. Amazon entered into this industry with caution, and it started by offering AmazonFresh
in just one test city – Seattle. This is the content in which the case is based.
Assignment Essay Questions:
1. What is your assessment of the online grocery market opportunity? What explains the prior
failures in this market?
2. Discuss the business level strategies Amazon used to establish AmazonFresh as a new
business adventure. How would you assess Amazon’s effort in this new market? How would
you compare AmazonFresh’s operating model to Instacart’s?
3. Should Amazon continue refining AmazonFresh’s business model in Seattle or expand to
another city? Explain your answers.
Grading Criteria:
Your case notes should illustrate your understanding of the cases AND your ability to answer the
assigned discussion questions for each case. Pass/fail grading is used for evaluating the effort you
put into studying the cases and the quality of your thinking in addressing the assigned discussion
questions.
Your case notes must be typed in 12-point font, 1-1/2 spaced, and with one-inch margins around the
page. Each case notes should consist of a minimum of three pages. Bullets points with
explanations/descriptions are the preferred format for your case notes. Please submit your case
notes to the corresponding Dropbox folder on BeachBoard on/before its due date.

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