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Wednesday, April 06, 2016

Amazon Acting like Walmart

Is Amazon acting like Walmart in the 80s?  In Retaillink:

" ... Amazon's investments in trucks, planes, cargo boats and drones continue to drive speculation on whether the company is building a full-scale delivery platform. But an RBC Capital Markets analyst has drawn attention by likening the moves to Walmart's shift to tighten supply chain costs three decades ago.

"At the core, we think the decisions Amazon is making today parallel those made by Walmart during the 1980s, as the company began to integrate itself more fully with its suppliers to aggressively reduce costs across all aspects of its business, especially the supply chain," wrote John Barnes in a note last week. "This can accomplish two things: reduce costs in any way possible and ensure that customers receive goods in a timely manner year round." ... "

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