There have been several posts on this board suggesting that Amazon should buy Sears. The reasoning is that Sears brick and mortar could compliment Amazon's internet business. Well, Amazon bought some brick and mortar, but it wasn't Sears! Better luck next time.
https://www.bloomberg.com/news/articles/2017-06-16/amazon-to-acquire-whole-foods-in-13-7-billion-bet-on-groceries
Amazon buying Sears? I wouldn't be surprised if it was nothing more than some rumour floating around the stock exchange in attempt to "up tick" the price of SHLD.
Amazon wants the worlds most efficient distribution centers with plenty of robots in them, going forward. Sears got that? Amazon builds them from scratch, usually has 2-3 under construction all the time
Target would be perfect for the stores-- they have been kept up and are more modern. Sears distribution network is in shambles-- closed warehouses, closed distribution centers-- not much left of that. The service part of SHC may be worth something but they have ruined their reputation so much I don't know if anyone would want it.
Actually, that's brilliant @1mcu! I never use words like synergies but I think you would have that there. The Target shopper & the Amazon shopper could be the same person. The Sears shopper & the Amazon shopper not so much. And the KMart shopper ... nope.
Amazon would be better off buying Target if they really wanted to go that route.
Reasons why Amazon might want Sears:
Distribution network...if only what was left wasn't antiquated.
Retail locations...if they weren't in such a horrible state of disrepair and there wasn't a glut of commercial real estate
Name...if it was still the 1970s and people associated Sears with quality
So yeah...basically no way in H..L
Why buy SHC with all the problems, debt, and corporate structure and equipment from the 1980's. If they want SHC why not wait until bankruptcy and buy the whole thing for $1.50.
As for WF it seems like a good way to expand Amazon Pantry and use the stores as a small warehouse for local delivery.
Amazon didn't have the money to buy Whole Foods it was 100% financed with debt from Goldman and Bank of America
they do not want the stores. the warehouses and delivery services are the target.
Amazon pays their rank & file workers terribly. A little better than Sears but it's like the holiday season in their warehouses every day. Whole Foods pays (or paid) better than industry average so I think this may be bad bad news for long time Whole Foods workers. You know. The old cut the higher paid experienced workers to hire the new dollar above minimum wage ones.
Given Amazon's B&M model of extremely automated stores where consumers can basically just walk in, get their stuff, and walk out, with the cameras having tracked all their purchases and made a charge to their account, I wonder if a lot of Whole Foods employees are about to be on the chopping block.
They already conquered the department store. They want the grocery store now.
Probably, but why would they buy Sears?
I believe Amazon still has plenty of money to buy other retailers as well.