I think the speculation is accurate. As I just stated, I dont believe Amazon acquired WF to compete in the traditional grocery space. They are going to apply technology (read cut jobs) anywhere they can. Amazon is already an expert at the logistical chain which will only enhance the delivery of produces both to the consumer and stores. The same is true for their warehouses...they are an engineering marvel.

At the end of the day, Amazon is looking to get people locked into their ecosystem. WF is an entry point. So yes I think they will keep quality up while cutting costs elsewhere.

Another thing to keep in mind, Amazon, if they chose to, could cut the margins on WF by the annual profit of that company. Now it is mixed into AMZN as a whole, they can operate without profit while using it for other purposes i.e. prime membership, drop off point, Amazon Fresh. etc...