Amazon is disrupting at least five industries the culture of

Amazon is disrupting at least five industries; the culture of innovation combined with deep pockets makes it clear why Amazon will be the retailer to watch in any category. Amazon.com has been tiptoeing into the world of brick-and-mortar retailing for some time now. The 1,800-square-foot convenience store called Amazon Go that uses a simple premise of the proposition that you scan an Amazon Go phone app at an entry gate, shop for whatever you like and walk out the door. No checkouts, no card transactions, no bagging. Amazon key is designed to allow in-home delivery when a customer isn\'t there!

Amazon’s general counsel, David Zapolsky, had a lot on his mind last month when he and four members of his legal team visited the offices of New America, a liberal-leaning think tank in Washington. The retail juggernaut was days from announcing its $13.8 billion purchase of Whole Foods, a deal that would roil not only the grocery industry but also trigger a government antitrust investigation into the strategies and practices of the “Everything Store.”

Is Amazon getting too big? Is this good or bad? Who should be worried: consumers, government, competitors, everyone, or no one?

Please respond with at least 250 words.

Solution

ANSWER:

Today Amazon is not only an online retailer however instead a multinational, though highly compartmentalized, corporation.. In majority areas Amazon has recently entered, be they streaming video or groceries or India, Amazon is far from dominant. However few observers fear that as Amazon’s breadth grows, the power of its ecosystem could erode jobs and stifle competition with the rivals. Deep pockets and a sophisticated and growing distribution network depicts it\'s a fearsome price competitor, which means to be worrisome to rivals in any market

Although it is beneficial to customers because the customers have flocked to its low prices, speedy delivery and customer service, but an opposite different matter for suppliers. Even as they gain from instant access to a massive online customer base, however the market size of Amazon allows it the power to inflict increasingly tough terms on its partners and rivals, forcing them to down prices and passing on the savings to customers, thus posing them a threat. Moreover another concern for the rivals us that as more customers enter the Amazon ecosystem, that makes it harder for producers to sell to customers outside it.

The power of monopoly is only possible, empirically and theoretically, by governments protecting privileged firms from competition and restricting the entry in the market. Amazon declined to the report that stated that it wants to eliminate everyone who stands between the producer of the product and the store. There\'s little relief from anti-trust law as the laws focus on consumer welfare, which Amazon excels at.