Amazon is undoubtedly one of the biggest e-commerce online retail stores out there with billions of dollars in revenues. However, in recent times, Amazon has spread its wings and entered almost all the sectors of the market, raising concerns about killing the competition everywhere, especially because of its Goliath-like presence and the ability to invest considerably in each of them. All these concerns were recently raised in CNBC recording when a questioner remarked that Amazon’s increased involvement could spell doom for many.
The CEO, Jeff Bezos, though has completely dismissed the argument saying that this is just a passing phase and every company still had a lot of potential in the market and he even has convincing statistics to prove so. If anything, these rumors have been blown out of proportion by the media who are looking for some juicy story all the time and the companies whose shares dropped because Amazon forayed into their territory have only themselves to blame.
Jeff Bezos might be completely right in his analysis though. If you look at the facts, most of the companies have adapted well to the presence of Amazon and have come up with newer ways to carve out a niche for themselves. Walmart’s business has been on the rise for the past few weeks, Microsoft is making a considerable stand for them in the cloud computing industry while Google has been effectively cutting down the gap between the Google Home series and Alexa by upping their game in home smart devices.
Shipping also remains unbothered by Amazon has FedEx and UPS have continued hogging most of the limelight. Even healthcare and groceries, another Amazon’s recent ventures still haven’t outplayed the other giants in these particular fields who have a customer base and loyalty of their own. Thus, things have definitely been blown out of proportion.
Some experts believe that the big companies can definitely compensate Amazon’s presence but it will be really difficult for the small and mid-sized business to do so as they simply don’t have the resource. However, Amazon themselves help in setting up quite a few businesses of such capacity by being their exclusive seller of products and thus, even these allegations do not stand on very solid grounds.