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Amazon reportedly wants to take over JCPenney and Sears stores to turn malls into giant fulfillment

dex4974

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SonOfDaedalus

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dex4974

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Isn't this a great idea? Sears and JCPenny's are going out of business. Even if you got rid of Amazon, online shopping will eventually do overtake retail outlets.

I understand that our world is changing, but is it cause for concern when a few companies have so much power and influence? What makes the free market great is competition. The bigger companies like Amazon get the less room there is for new competitors to carve out a niche. That will hurt our economic and technological growth. It will also create more opportunity for companies to abuse near or complete monopoly status.
 
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dex4974

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I believe amazon sales are still lower than Walmart’s

Amazon's brand is worth a lot more, and from 2019 to 2020 Amazon outpaced Walmart's growth by 30% with no signs of slowing down. Jeff Bezos is on track to become the world's first trillionaire.
 

SonOfDaedalus

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I understand that our world is changing, but is it cause of concern when a few companies have so much power and influence? What makes the free market great is competition. The bigger companies like Amazon get the less room there is for new competitors to carve out a niche. That will hurt our economic and technological growth. It will also create more opportunity for companies to abuse near or complete monopoly status.

I agree that there is a point where a company becomes too large and too powerful. But I don't think Amazon is there yet.

There was a time when people thought AOL was too large or Microsoft. It's very difficult to keep a dominant market position in the modern world. Everything I buy at Amazon, I can get just a cheap somewhere else. I prefer them because of the speed of their deliveries and their large selection.

A monopoly is when you can only get what you need from one company.
 

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I can’t really see the downside to this. It would bring in jobs and use space that’s already been built but is under utilized currently.
 

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i buy a ton of stuff through Amazon that is made (and normally sold directly) by other companies. they're leveraging Amazon's sales/delivery infrastructure to make a fortune.
 

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Amazon looks to turn malls into giant fulfillment centers: Report - Business Insider




At what point does Amazon's size become a threat to the free market's ability to thrive through competition?

It’s not that so much as reducing the use of employees and overhead through ruthless efficiency, to cut labor cost per item shipped. The ultimate goal would be a completely automated system with no hourly employees.

So good bye to your first job after high school.
Next we lose human truck driving - for many, the best job they will ever have.
 

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Amazon is going to do today what Walmart was able to do back then: alter the path of general economic participation, damage quite a few things in their wake, further suppress entrepreneurship, and continue to separate the highest percentage of the top income quintile from everyone else.
 

dex4974

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I agree that there is a point where a company becomes too large and too powerful. But I don't think Amazon is there yet.

Once they reach that point will it be too late to do something about it?
 

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"In 2019, nearly 225,000 Amazon sellers worldwide eclipsed $100,000 in sales, up from nearly 200,000 in 2018—and 15,000 U.S. businesses broke $1 million."
 

dex4974

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I can’t really see the downside to this. It would bring in jobs and use space that’s already been built but is under utilized currently.

It's a ****ing brilliant move on Amazon's part. I'm sure it will be very profitable for them and will be utilized by a lot of people. I just find the growth of Amazon and a few other mega-companies to be kind of alarming. At what point is it too much?
 

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Seems like a good use of often abandoned malls.

All the good stores have left the malls these days.

It is a brilliant move on Amazon's part. No question there.
 

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Once they reach that point will it be too late to do something about it?

I suggest you go to your nearest small town and look up the former proprietor of the local grocery or department store.... They will be willing to tell you all about how a mega-corp can brutalize an economy.

There is a reason Walmart avoided major cities and suburbs for a long time in their expansion.
 

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Amazon definitely worries me. They could become Deon International in 12 years (clue for the reference) if given too much allowance to do so.

Sent from my SM-N970U using Tapatalk
 

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I suggest you go to your nearest small town and look up the former proprietor of the local grocery or department store.... They will be willing to tell you all about how a mega-corp can brutalize an economy.

There is a reason Walmart avoided major cities and suburbs for a long time in their expansion.


Walmart went into the locations that were the most likely to provide a good profit. Higher cost rural locations without department stores or at least chain department stores. It devastated small local stores and downtown business districts in smaller cities and towns. Then closed up smaller stores to open up larger and more distant super Centers.

Walmart wipes out Kmart, Sears and other mid to low market department stores. Amazon is hitting mid to upper level stores
 

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Walmart went into the locations that were the most likely to provide a good profit. Higher cost rural locations without department stores or at least chain department stores. It devastated small local stores and downtown business districts in smaller cities and towns. Then closed up smaller stores to open up larger and more distant super Centers.

Walmart wipes out Kmart, Sears and other mid to low market department stores. Amazon is hitting mid to upper level stores

Oh, I agree... They serve different markets with some overlap but the basic principles are the same... Amazon's real power is their technology and logistics. For Walmart, especially in the early days, the power was in Retail Link and scrupulous management of the supply chain. There is a reason why the road in front of the datacenter in Bentonville is called David Glass Drive. :2razz:
 

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First we (as Americans) need to stop making Amazon a go to place to shop. Amazon is not the problem we are.
I'm one of the few people that buys maybe 1 thing a year on Amazon.
One of the problems is Amazon is buying up all the smaller companies so even when you think your not buying from them you are.
One thing the pandemic has done is made stores with a small online presence bigger. Its easier to shop those smaller stores now.
 

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LOL. So are you saying that JC Penny and Sears should get a government bailout to stop Amazon?

If a person didn't actually say a thing you shouldn't assume they meant a thing. That's a good way to spout off a bunch of ignorant nonsense. ;)
 

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Amazon looks to turn malls into giant fulfillment centers: Report - Business Insider




At what point does Amazon's size become a threat to the free market's ability to thrive through competition?

By my estimation?

A company is too big and dangerously anti-competitive in this situation: Imagine in a hypothetical scenario, the CEO/Founder was removed from the helm of his current company and forced to start a new company from scratch. If Jeff Bezos lost control of Amazon (and all of his Amazon stock), would he be able to create a brand new online retail and fulfillment company that would have a realistic shot of competing with Amazon in its current form? If not, then the company probably needs to be broken up.
 

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Amazon looks to turn malls into giant fulfillment centers: Report - Business Insider




At what point does Amazon's size become a threat to the free market's ability to thrive through competition?
Amazon should be both broken up and unionized as they did to Ma Bell and Standard Oil.

In the Akron area, they tore down an abandoned Rolling Acres mall and have not built an Amazon fulfillment center. Its sort of ironic that a mall was replaced by internet shopping giant that has killed malls. Chapel Hill Mall is almost dead but I don't see Amazon buying it.

Randall Park Mall was been replaced by an Amazon center as well.
 
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