Fresh Direct Analysis

In: Business and Management

Submitted By Jefiner166
Words 903
Pages 4
Jennifer Kunkel

COMPANY NAME/WEBSITE/INDUSTRY
FreshDirect / http://www.freshdirect.com/site_access/site_access.jsp / grocery industry
BACKGROUND/HISTORY
FreshDirect was created in July 2001 by cofounder and former chief executive officer Joseph Fedele, who was able to bring plenty of experience in New York City’s food industry to the company. Vice Chairman and Chief Financial Officer Jason Ackerman was an investment banker with Donaldson Lufkin & Jenrette, where he specialized in supermarket mergers and acquisitions and gained him exposure into the grocery industry. Fedele and Ackerman had decided to open their own chain of fresh-food stores, but decided to pursue an option that allowed them to use online shopping and central distribution to deliver their products to consumers. The idea behind the company was to take products that you typically get from a grocery store and deliver them to the doors of their customers. After several changes to CEO, Jason Ackerman is currently holding the position. (Dess, c125)
SWOT ANALYSIS
Strengths
* Financial backing from several private sources, with a small contribution coming from the State of New York. * Outstanding customer service. * Door to door delivery. * Warehouses have multiple temperature zones to ensure freshness of different types of food. * Refrigerated trucks.
Weaknesses
* Only located within a certain mile radius of Manhattan, Queens, Brooklyn, Nassau County, Riverdale, Westchester, select areas of Staten Island, New Jersey, and parts of Connecticut. * Continuously changing management (CEO). * Customers can only have their orders delivered during a prescheduled, two-hour window.
Opportunities
* Can expand their business outside of the current areas. * Can expand to include non-perishable products. * Can open a change of supermarkets that coincide with…...

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