Retailers closed down over 4,600 stores in 2023, with more to come in 2024

[ColonelAngus]

Dude, I don’t care what you want to be.

Just be better at discussing facts.

What are your facts?

 

[Stormy Daniels]

Amazon loses money on retail. All their profit comes from AWS which funds their destruction of retail. I’m all for market forces but in this case unlike Walmart which makes a profit on retail Amazon is predatory.

This reflects a misunderstanding of Amazon's business. "Retail" would refer their first party retail offerings, where they are selling their own inventory. This is actually more of a secondary set of offerings, as the marketplace of third party offerings is where the real money is at for Amazon. Third party sellers were the origin story for Amazon's retail operations and remain it's biggest source of profit. They take commissions on the sales, and they take even more for the "fulled by Amazon" segment. In addition, Amazon pulls in big advertising revenue, gaining an even bigger chunk of their third party retailer's margins.

While it's been speculated that Amazon's first party retail may be a loss leader, there's little hard evidence to support that assertion. Particularly with the expansion of Amazon's own budget friendly brand of products that often strongly compete with popular products (and often are stolen IP from third party sellers that Amazon subsequently bans). If Amazon incurs losses on their own first party retailing of non Amazon Basics products, it's likely that they only do so on the basis of trying to control third party retailer's own pricing to ensure that people aren't deterred from ordering off Amazon as opposed to brick-and-mortar competitors. While that would still be anti-competitive, it doesn't amount to being predatory.

If Amazon is predatory in any way, it's toward it's third party clients who sell through Amazon, not towards competitors like Wal-Mart or other large brick-and-mortars.

I’d suggest the government split the two parts of Amazon but I have no idea if that is legal.

It's not legal. American anti-trust laws were designed for businesses that dominate a narrow set of offerings--the quitessential example being Standard Oil controlling some 90% of all sales in the country. Those laws never envisioned book stores stifling competition by also becoming major advertisers, and warehouses, and grocerers, and electronics manufactures, and media producers, and media service providers, so on and so forth, in order to make it nearly impossible to not do business with them somewhere along the way.

We desperately need updated anti-trust laws to address companies with sprawling tentacles.

 

[citygator]

This reflects a misunderstanding of Amazon's business. "Retail" would refer their first party retail offerings, where they are selling their own inventory. This is actually more of a secondary set of offerings, as the marketplace of third party offerings is where the real money is at for Amazon. Third party sellers were the origin story for Amazon's retail operations and remain it's biggest source of profit. They take commissions on the sales, and they take even more for the "fulled by Amazon" segment. In addition, Amazon pulls in big advertising revenue, gaining an even bigger chunk of their third party retailer's margins.

While it's been speculated that Amazon's first party retail may be a loss leader, there's little hard evidence to support that assertion. Particularly with the expansion of Amazon's own budget friendly brand of products that often strongly compete with popular products (and often are stolen IP from third party sellers that Amazon subsequently bans). If Amazon incurs losses on their own first party retailing of non Amazon Basics products, it's likely that they only do so on the basis of trying to control third party retailer's own pricing to ensure that people aren't deterred from ordering off Amazon as opposed to brick-and-mortar competitors. While that would still be anti-competitive, it doesn't amount to being predatory.

If Amazon is predatory in any way, it's toward it's third party clients who sell through Amazon, not towards competitors like Wal-Mart or other large brick-and-mortars.



It's not legal. American anti-trust laws were designed for businesses that dominate a narrow set of offerings--the quitessential example being Standard Oil controlling some 90% of all sales in the country. Those laws never envisioned book stores stifling competition by also becoming major advertisers, and warehouses, and grocerers, and electronics manufactures, and media producers, and media service providers, so on and so forth, in order to make it nearly impossible to not do business with them somewhere along the way.

We desperately need updated anti-trust laws to address companies with sprawling tentacles.

Good post. They do, however, get 74% of their profit from AWS. Of the remaining 26% much of that is simply fulfilling. True retail, they run virtually no profit. Not sure what can be done but it is ruining smaller firms.

 

[otto105]

Restaurants are shutting down at an alarming rate. People in California and Washington can't afford to go out to eat. Owners can't afford to stay open without raising prices to pay minimum wage. No one likes paying $12-14 for a little hamburger and fries for lunch.

Hilarious

 

[otto105]

What are your facts?

The world is round


The sky is blue

And your orange fuckup is a liar.

 

[initforme]

Restaurants are shutting down at an alarming rate. People in California and Washington can't afford to go out to eat. Owners can't afford to stay open without raising prices to pay minimum wage. No one likes paying $12-14 for a little hamburger and fries for lunch.

Well if you don't like paying the prices then don't go out to eat. Cook at home. Easy fix.

 

[Stormy Daniels]

Restaurants are shutting down at an alarming rate.

Do you have any evidence of this? Restaurants always close down at a high rate, so you'll need pretty extraordinary evidence. About 90% of all restaurants fail within their first year.

 

[iamwhatiseem]

Malls from coast to coast have been closing for the last decade or so due to Amazon and the rest. Not good.

Before that, it was Wal Mart putting all kinds of local businesses out of business.

It's free enterprise, but it comes at a cost, and we need to decide what's best. Pretty damn soon.

Not going to happen.
Americans are the worst shoppers in the world. No matter their politics.
Americans shop with price as the only reason they choose a product nearly completely. Where it was made has absolutely no bearing on their choice no matter how much they claim otherwise.
Americans LOVE to say they care about local businesses etc. - but the proof is in their shopping carts and on their front porch.
Americans SAY they care, but don't.
At all.

 

[BS Filter]

Well if you don't like paying the prices then don't go out to eat. Cook at home. Easy fix.

so how do owners stay in business?

 

[BS Filter]

Do you have any evidence of this? Restaurants always close down at a high rate, so you'll need pretty extraordinary evidence. About 90% of all restaurants fail within their first year.

We're talking about established restaurants.

Seattle Restaurant Closures: Wedgwood Ale House Announces the End

JuneBaby, Blotto, and WeRo are among the acclaimed restaurants that closed in December.

seattle.eater.com

 

[Harpy Eagle]

You will find out in 2024 when Dems get bitch slapped out of office fool.

seems you all said that was going to happen in 2022 as well.

 

[Bob Blaylock]

I envision thousands of government owned stores all along the fruited plain. They will look like the most decrepit worn-down buildings in a dystopian society.

Your remark reminds me of what Boris Yeltsin wrote about his experience seeing an American supermarket, compared to the stores that existed, at the time, in the Soviets Union.

The stores that you envision would probably be very like those with which Yeltsin was familiar at home.

 

[Bob Blaylock]

Naw......but you need to get yer head out of trumps ASS.

According to you.....business failures in 2020 were not trumps fault at all.
It was the fault of 'someone else'
Duh.....
"No, I don't take ANY responsibility at ALL." djt

Who was it that cooked up a huge hoax, built around a routine common cold outbreak, and used that hoax, among other things, to deliberately and maliciously sabotage the economy?

It sure as Hell was not Trump.

 

[Bob Blaylock]

…and there is no way the stores that sell me have a positive gross margin.

Which stores sell you? I didn't realize that you were for sale. Wasn't the Thirteenth Amendment supposed to put an end to that?

 

[Bob Blaylock]

There it is ^^^^^ were floundering, bring out the TDS claim.
That's some weak ass shit right there.

 

[initforme]

so how do owners stay in business?

Not my concern. I frankly don't care if they shut their doors.