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What is Amazon's Monopoly? I don't mean this as a gotcha question: I really don't understand what people are claiming when they say this. All three of those c

What is Amazon's Monopoly? I don't mean this as a gotcha question: I really don't understand what people are claiming when they say this. All three of those companies are now large conglomerates with a lot of power (perhaps too much), but calling them "monopolies" is counter-productive (except Google search), especially in the context of regulatory or legal framework, where the facts have to fit a very precise pattern to take action.

zozbot234 4y ago
They own a dominant platform for consumer shopping and use it to promote their own products. Meanwhile established competitors like Walmart cannot be featured on the same platform without submitting to rules that Amazon itself doesn't have to abide to. It's called a tie-in arrangement in antitrust law, and it's not legal.
- deadpannini 4y ago
  I'd agree that they are "dominant", and that legal authorities should watch Amazon closely for specific violations, but they only control 35-40% of the online consumer retail market (by most estimates circa 2022).
- scarface74 4y ago
  Really? No retailer has ever let a competitor advertise on their platform and store brands have always been a thing across retail. Poor little Walmart is much larger than Amazon in terms of revenue and profit.
  - zozbot234 4y ago
    Physical retail stores are not a natural monopoly platform like a shopping site is. There's nothing stopping Amazon from building a physical store next door to a Walmart and selling its products there.
    - scarface74 4y ago
      How is a shopping site a “natural monopoly” when there is an existence proof that there are other large shopping sites - like Walmart.com? If you go on Facebook or Instagram you can find thousands of small merchants who advertise there and ship directly to consumers. > There's nothing stopping Amazon from building a physical store next door to a Walmart and selling its products there. And there is nothing stopping you from building a website and doing targeted advertising that is reachable by anyone. Wouldn’t you say it’s a lot easier creating a website than building a physical store?

zozbot234 4y ago

They own a dominant platform for consumer shopping and use it to promote their own products. Meanwhile established competitors like Walmart cannot be featured on the same platform without submitting to rules that Amazon itself doesn't have to abide to. It's called a tie-in arrangement in antitrust law, and it's not legal.

deadpannini 4y ago
I'd agree that they are "dominant", and that legal authorities should watch Amazon closely for specific violations, but they only control 35-40% of the online consumer retail market (by most estimates circa 2022).
scarface74 4y ago
Really? No retailer has ever let a competitor advertise on their platform and store brands have always been a thing across retail. Poor little Walmart is much larger than Amazon in terms of revenue and profit.
- zozbot234 4y ago
  Physical retail stores are not a natural monopoly platform like a shopping site is. There's nothing stopping Amazon from building a physical store next door to a Walmart and selling its products there.
  - scarface74 4y ago
    How is a shopping site a “natural monopoly” when there is an existence proof that there are other large shopping sites - like Walmart.com? If you go on Facebook or Instagram you can find thousands of small merchants who advertise there and ship directly to consumers. > There's nothing stopping Amazon from building a physical store next door to a Walmart and selling its products there. And there is nothing stopping you from building a website and doing targeted advertising that is reachable by anyone. Wouldn’t you say it’s a lot easier creating a website than building a physical store?