The Biggest Risk Of The Internet Of Amazon.com Sells Many Goods And Services Around The World

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The internet retailer Amazon.com sells many goods and services around the world. Some of their biggest risk factors are that they face intense competition, they incur a great amount of risk through their international expansion and their diverse inventory. They operate in an oligopolistic market, especially in their market for e-readers. Overall in their oligopolistic market over the last three years they have been incurring net losses due to their rapid expansion and their intense competition, even though their net loss is small compared to their annual revenue. Amazon.com was created in Seattle, Washington in 1994, which is where their main operations occur and every year sells millions of different products through third-parties. Some…show more content…
The competition that Amazon.com faces is numerous as they sell and produce many different products and services. Some of their competitors are in industries including retail, e-commerce services, digital content and electronic devices, and web and infrastructure computing services. Due to the fact that Amazon.com is categorized as an internet retailer they face competition from many different industries including those providing goods and services such as electronic devices, digital content, retail, and web service. We Face Intense Competition Amazon.com faces intense competition when it comes to their online market, as they have competition in many different industries. The goods and services that Amazon.com offers varies greatly and includes retail, e-commerce services, web computing services, and electronic devices, which increases their competition from solely internet based companies to physical retail markets as well. Some of their competition is more intense in that they have greater resources and brand recognition as well as more customers. Amazon.com’s competition may also intensify due to newer and more advanced technologies in both electronics and in web infrastructure, together with business alliances between their competitors. This intense competition will decrease their profits in the long run due to creating a more competitive market which will decrease demand for Amazon.com products and services, closer to a
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