4 ms·
Because they cross-subsidise their unprofitable new markets with their profitable established markets, so overall the company makes (historically) a net loss. I
by brainwad 5y ago
Because they cross-subsidise their unprofitable new markets with their profitable established markets, so overall the company makes (historically) a net loss. It's been a great strategy for Amazon and it is what the tax system is meant to incentivise - economic development instead of extraction.