A&P flourished when people went downtown to shop. As new suburbs spread, A&P’s stores were old and distant. A&P filed for bankruptcy in 2015. By November 25, 2016, its last stores had closed.
Last week, the Kroger grocery chain’s lowered earnings forecast caused a 19 percent drop in share prices, which had already declined 12 percent in 2017. This was before Amazon announced that it is buying the Whole Foods grocery chain — more than 460 stores in 42 states, Canada, and Britain — for $13.7 billion, which is approximately how much Amazon’s market capitalization increased after the Whole Foods announcement.
Whole Foods, like Kroger, had been experiencing difficulties from competitors and expanding consumer options. The Wall Street Journal reports: “Consumers are buying more of their groceries outside of traditional supermarkets. Online merchants, discounters and meal-kit delivery services are all grabbing market share.”