Our recent cover story that analyzed the sometimes-rocky relationship between Amazon and the modern day consumer electronics retailer wasn’t the first piece of content aimed at reporting on what the e-commerce giant has done to the brick-and-mortar retail landscape. It’s sort of become the holy grail of the retail industry: How does one compete with Amazon? Perhaps a better way to phrase that question would be something like: How does one operate efficiently enough to remain in business in the age of Amazon?
That’s a question (no matter how you want to phrase it) that seems essentially unanswerable.
But it doesn’t mean we won’t continue to try. One way to get to the bottom of it all is to understand why exactly Amazon has become so successful. This was, if you remember, just another one of the many dot-come era companies that started up in the mid-1990s. And while a very large majority of those firms eventually folded when that bubble burst, Amazon has found a way to thrive and expand to a point where its disrupting nearly every industry you can think of. And their rate of growth seems practically unstoppable (with the exception of a recent “stumble”).
But why? Well, here are a few reasons we’ve identified.