Controversy
Since leaving Fairway to start FreshDirect in 1998, Fedele has been embroiled in a series of disputes with Fairway owners. Fairway's management accuses Fedele of over-representing his role in the creation of Fairway's Harlem branch. Fedele says that his description of himself as the branch's "co-founder" is an understatement. Fedele also states that "Fairway was a single store doing their business in the traditional retail manner (purchasing their products through the traditional supply chains) for 18 years. When they met me they stumbled on this epiphany of curtailing the supply chain and creating a sustainable competitive and differential product advantage. Let's be serious".
In response to Fedele's claims, Fairway began hanging signs in its aisles attacking Fedele's credibility and the quality of FreshDirect's produce. Chris Smith of New York Magazine wrote (May 17, 2004):
The FreshDirect posters blaring that the company was BROUGHT TO YOU BY A CO-FOUNDER OF FAIRWAY UPTOWN and featuring a photo of Fedele made Glickberg furious. He posted signs inside the 74th Street store reading FAIRWAY IS IN NO WAY AFFILIATED WITH FRESHDIRECT. FreshDirect jabbed back by sending staffers dressed as giant fruits and vegetables to pass out fliers in front of Fairway. Then the FreshDirect Website added a lengthy description of Fedele's role in the uptown Fairway, headlined: HEY FAIRWAY, WHAT ARE YOU AFRAID OF? Fairway threatened to sue.
Read more about this topic: Joe Fedele
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