alt Hacker NewsAnd my point is that many of us aren't even shopping on price!
You could also flip around the reading to.. boohoo poor sellers have to raise their prices elsewhere and take higher margin?
Why don't they figure out how to ship/delivery more quickly with a competitor with all those extra margin dollars they are being forced by Amazon to take elsewhere?
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One correction: wealthy people aren't shopping on Amazon because of price. Everyone else uses Amazon because of price and convenience.
This is a terrible argument. It’s only margin if they get the service but no one wants to pay the same to get slower shipping. Amazon has made the choice for the consumer.
Sure their logistics are better but it’s functionally tying Amazon’s logistics to access to selling on Amazon. It’s not a fair burden to say “you must convince customers to buy inferior shipping at superior shipping prices in order to not use us.
Some may be shopping based on price without realizing it. There's already a baked in assumption that Amazon has the lowest price and there's no need to check elsewhere.
> You could also flip around the reading to.. boohoo poor sellers have to raise their prices elsewhere and take higher margin?
Behavior which is often ruled anti-competitive and illegal.
https://ec.europa.eu/competition/antitrust/cases/dec_docs/40...
If Amazon stopped engaging in price fixing, then people like you who aren't shopping on price could still buy stuff on Amazon, and other people who are shopping on price could buy the same item from the manufacturer's site for 30% less with the knowledge that it'll probably arrive in a week rather than in a couple days. I'm not sure what problem you have with that.
Because Amazon benefits from massive economies of scale, and because Amazon has nearly-unlimited cash to push competition out of the market?
How could a regular webshop possibly compete with a behemoth which has warehouses in literally every major city, which has its own dedicated fleet of delivery vehicles, and which has its own fleet of cargo planes? When you've got a single warehouse and have to rely on DHL/USPS/FedEx, you will never beat them on delivery time when Amazon is actually trying: Amazon can trivially offer same-day delivery and eat the cost until you go out of business.
And don't forget: Amazon has an even bigger margin. If they were to compete on price, they would easily win. But they aren't competing on price because they know they have a quasi-monopoly, so they can just enjoy the extra profit.