#24 Why did Amazon buy Whole Foods? | Patrick Badolato, University of Texas

As you know, Amazon bought Whole Foods recently. If you don’t, I’d love to get you on the show and learn how you develop such a low-information diet, especially if there is an organic option that can be delivered in two hours - no, I’m not kidding.

Back to the skin of the matter. Why did Amazon buy Whole Foods? What are the strategic implications of the purchase? Is Amazon close to having monopolistc power on online retail?

Today, I’m sitting with Patrick Badolato, an accounting professor at the University of Texas McCombs school of business, and a few more things:

PHD in Accounting from Duke

Teaches in the MBA, MSTC, MPA and MSF programs at UT

Worked with and consulted for Harvard Business School and Harvard Business Publishing on various accounting materials

His teachings focus on Financial Accounting, and Financial Statement Analysis, and he was actually my professor at the MS Tech Commercialization this summer.

We’re discussing:

Performance of Whole Foods over the years

Whole Food’s First-Mover Advantage vs. Sustainable Competitive Advantage

How has Amazon changed over the years?

How would you weigh the convenience of online vs. the experience of online shopping?

Disclaimer: This is not stock recommendation. This is a conversation.