Recently, CEO and founder of Amazon, Jeff Bezos gave a surprising warning to his staff. The world’s richest man said his company, currently valued only just under $1 trillion, could meet its end one day according to an audio record of the message. During his announcement, Bezos pointed to Sears and their bankruptcy. The company used to be a major competitor for his business.
In his address to his employees, Bezos said Amazon is not, contrary to belief, too big to fail. The founder even predicted that one day his company would go bankrupt. He then cited that the lifespan of larger companies tends to be around thirty or so years, not a hundred.
According to Bezos, the way they can surpass the fate Sears fell to as one of the largest retail chains in its time, is to take special consideration in caring for their customers. Sears declared bankruptcy back in October.
Jeff Bezos’ Plan To Keep Amazon Running
Bezos said that should the company begin to focus more on themselves as a company instead of customers, that will only spiral into their demise. Like any company CEO, Bezos wants to delay the end of his business for as long as possible.
These words came after a particularly difficult week for the company. This past Tuesday, Amazon announced two new locations for headquarters. Arlington, Virginia, and Queens, New York will soon be home to two more headquarters for the dominant company. A variety of cities offered billions in subsidies as well as investments to host Amazon. Residents of New York, however, were enraged by how much corporate welfare package the state provided the company.
According to Jimmy Van Bramer, the city councilman, both the mayor and governor threw nearly $3 billion in tax breaks and subsidies to Jeff Bezos and his company. The councilman also said they threw in a helipad, so Bezos doesn’t have to take the train.
Amazon is also now involved in an antitrust investigation by regulators in Europe as to the company’s use of data. Amazon expects to soon account for half of all e-commerce in the US, although some have called to break up the company. President Trump has also criticized Amazon and threatened for investigations into the company’s taxes and use of the postal service.