As of Thursday, September 20, 2012, Walmart dropped Amazon's popular product, the Kindle, from stores world wide. Although, Walmart has failed to disclose information as to why it has stopped marketing this commodity, analysts say that it is not hard to figure out as Walmart will continue selling similar e-reader devices. Walmart feels that customers will use the available Kindles on display to test the device and proceed to buy it from online competitors, leaving Walmart high and dry. Now the tables are turned as Amazon needs the in-store displays in order to stay profitable. The Kindle will be sold in many other stores including Best Buy, Radio Shack, Staples, and Office Depot, but Walmart is bigger than all of these stores put together. As the holiday season rolls around, Amazon will definitely begin to feel the affects. Customers want to try out a product before they buy as it is difficult to get a full sense of it from just a description and measurements online.
As Amazon will slowly begin to wither, it's competitors have already begun to prosper. With Apple going strong due to the release of the iPhone 5 this week, the iPad is sure to get more attention and therefore, more consumers. While rumors spread that Barne's and Noble's Nook is coming out with a newer, more technologically savvy e-reader/tablet. The future is not looking good for Amazon's Kindle. How will this affect the world? With Amazon currently employing over 15,000 people, the damage could be severe if Amazon does in fact loose business thanks to Walmart.
http://www.nytimes.com/2012/09/21/business/wal-mart-stores-dropping-amazon-kindle-tablets-and-e-readers.html?ref=technology
No comments:
Post a Comment