The margins in warehousing were razor thin to begin with, Amazon simply mops up the profits of what many smaller players would make in aggregate but does so mor

The margins in warehousing were razor thin to begin with, Amazon simply mops up the profits of what many smaller players would make in aggregate but does so more efficiently due to its scale. Its like grinding in poker, once your bankroll is much bigger then all the other players combined it is a forgone conclusion that you'll win it all if you play correctly. This sort of thing is inevitable and why you have Walmart and Tesco for example. Mature industries settle around a few outsized players. Royalty clubs like Amazon Prime are obviously the end game. They won't go broke, they'll become the single most important account for many millions of households.