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Amazon/Whole Foods Monopoly Power

Can Amazon Conquer the World? NY Times “On Tech”

Excerpt with link to pieces in the NY Times. You can subscribe to their “On Tech” newsletter by email without being a NY Times subscriber, as I understand it:

 

Technology

September 28, 2020

Can Amazon conquer the world?

Gianluca Alla
Author Headshot By Shira Ovide
Amazon is the opposite of our romantic imagination of Italian villages lined with bakeries and old cobbler shops. But the pandemic persuaded Italians to overcome their reluctance to online shopping — and Amazon.
Adam Satariano, who writes about European technology for The New York Times, talked to me about his article on why Amazon’s playbook started to work in Italy, and if the country is a template for other parts of the world where Amazon hasn’t caught on.
There are underlying questions in Adam’s article: Will Amazon become something the world doesn’t really have: a dominant, globally popular store? And what might we gain and lose from that?
Shira: Why wasn’t Amazon that popular in Italy before now?
Adam: Online shopping has never been as common there as it is in the United States or elsewhere in Europe. Italy has the oldest population in Europe, and people tend to prefer shopping in stores and paying in cash. Roads in many parts of the country, especially in the less affluent south, are pretty bad.
The pandemic changed habits. One survey found that two million Italians tried e-commerce for the first time from January to May. Amazon was ready for this moment. So was Esselunga, an Italian grocery company that has done well with food delivery.
How did Amazon get ready?
The company was patient. Since it started in Italy in 2010, it slowly built warehouses and a distribution network, and convinced merchants to sell their products online. For local appeal, Amazon sponsors events like a Christmas festival in remote villages to show that the company can reach everywhere. Amazon also let Italians earmark a percentage of their purchases for local schools.
How do Italians feel about Amazon?
There’s tension between tradition and change. There’s concern about what a shift to online shopping means for the economy and culture in a country where small and midsize businesses are a large part of the economy. In Italy, as elsewhere in Europe, there are strikes and organized efforts to get better pay, benefits and working conditions.

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