Essay on Fresh Direct Case Study

1094 Words Feb 26th, 2013 5 Pages
Running head: FRESH DIRECT CASE STUDY

Fresh Direct Case Study
School

COMPANY NAME/WEBSITE/INDUSTRY
Company Name: FreshDirect
Website Address: http://www.freshdirect.com
Industry: Online Grocery
BACKGROUND/HISTORY
FreshDirect is an online grocery launched in 2001 that offers shopping and delivery services to around 300 zip codes in the tri state area of New York (www.freshdirect.com). The current CEO of FreshDirect is Mr. Jason Ackerman, who is also a cofounder of the firm, whilst the chairman is Jim Manzi. FreshDirect serves over 600,000 customers, and in 2010 it claimed revenues of more than $250 million, representing an increase of $20 million from the previous year (Bloomberg BusinessWeek, 2012).
…show more content…
|SUPPLIER POWER | |
| |Differentiation of inputs | |
|BARRIERS | |THREAT OF |
|TO ENTRY |( |SUBSTITUTES |
| | | |
|Proprietary learning curve |( Rivalry ( |-Buyer inclination to |
|Capital requirements | | produce |
|Brand identity |( |-Price-performance |
| | | trade-off of substitutes |
| |BUYER POWER |RIVALRY DEGREE |
| |Buyer information |-Industry growth |
| |Brand identity |-Product differences |
| |Product differentiation |-Brand identity |

STRATEGY USED Porter identified a number of