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Alibaba Could Take Kroger to the Next Level Fast | The Motley Fool

A worthy opponent
If a merger occurs, Kroger would become even more of a powerhouse in groceries, and a solid investment candidate. It’s already a quality company that has been knocked back due to the investments in pricing it needed to make to compete with Amazon and Walmart. The Amazon purchase of Whole Foods scared the market scared the market with its potential to create a new, more powerful rival to Kroger.

Yet Kroger has shown an ability to adapt to the changing consumer landscape and a willingness to make the investments it needs to remain competitive. While some of its ideas seem to go off on a tangent, like the apparel business set to launch in the fall, which will take away space from its groceries, others show it is looking beyond the narrow confines of what a grocer is or could be.

The reported Boxed and Overstock overtures would indicate Kroger does have its eyes set on melding the on- and offline worlds; a partnership with Alibaba would be the pinnacle of that strategy and would make its business and its stock tough to beat.

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Alibaba Could Take Kroger to the Next Level Fast — The Motley Fool.

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