Re:Amazon’s New Competitive Advantage: Putting Its Own Produ...
by ngokevin on Monday June 08, 2020 @04:50PM
(#23460635)
"abusing" is not the right word, but they definitely can make it impossible to compete in many areas. Let's say you made a laptop tray and sold on Amazon, it did well!
Then Amazon sees it, makes their own laptop tray, subsidized by economies-of-scale and their shipping network. They feature it higher than yours, bury yours down further, and sell it at much cheaper. It's not like you can compete on Amazon. And let's face it, you're not going to compete making your own store or selling it on brick-and-mortar.
Eventually you starve out, you get out of the market, and then they cheapen the product even more to the point of lower product quality. Then at that point, the consumer loses.
Seen so many products that used to be high quality, then the product quality got worse over time with cheaper materials, while keeping the same 5-star old reviews
Then Amazon sees it, makes their own laptop tray, subsidized by economies-of-scale and their shipping network. They feature it higher than yours, bury yours down further, and sell it at much cheaper. It's not like you can compete on Amazon. And let's face it, you're not going to compete making your own store or selling it on brick-and-mortar.
Eventually you starve out, you get out of the market, and then they cheapen the product even more to the point of lower product quality. Then at that point, the consumer loses.
Seen so many products that used to be high quality, then the product quality got worse over time with cheaper materials, while keeping the same 5-star old reviews