Where in Health Might Amazon Fit?

Amazon earned the reputation of being a constructive force for consumers and a disrupter for the industries it chooses to enter. In the last few years, we have been watching Amazon’s tentative forays into selected health care niches. Amazon has avoided the clinical services side of health care, unlike CVS, which is transforming its retail […]

Amazon’s Next Step in the Pharmacy Industry

With the acquisition of PillPack, Amazon played another card in its high stakes contest of elbowing its way into retail pharmacy. Amazon has long been expected to make a move into the pharmacy space, and the 64,000 US retail pharmacies are not pleased to see Amazon sticking its big nose under their tent. Assuming that […]

USPS – What to Do With 50 Percent

With annoying regularity, the Postal Service increases prices for first class postage. It’s annoying because first class postage is highly profitable and does not need a regular rate increase to remain profitable for many years. On the other hand, postal charges for parcels, especially those from ecommerce shippers, are somewhat underpriced. In effect, UPSP is […]

Posturing on Consumer Privacy

Facebook is suffering from regular beatdowns in TV, print and in internet media. Public irritation with Facebook’s loose securing of consumer personal data has been festering for years. Despite having more newly critical friends than he needs, Mark Zuckerberg chose to refresh Facebook’s black eye by pushing back against Tim Cook’s “I wouldn’t be in […]

Apple, Amazon, and Google Involvements in the Health Care Industry

There has been much speculation about where and how quickly Apple, Amazon, and Google will join the health care industry. At $1.7 trillion in 2016, Health Care is a growth opportunity where the three tech giants are seeking footholds. Apple is shaping its health care involvement by harnessing its strength in electronics and software. It […]

An Approach to Health Care That Could Work Well

JP Morgan, Berkshire Hathaway and Amazon announced their intention to take on the challenge of improving health care for their employees, using a not-for-profit approach.  The trio’s announcement referred to the unbridled costs that need taming, and the role that technologies could play in delivering better, cheaper health care.  The trio’s mild statement jolted some […]

Divergent Currents in Retailing

The transformation in retailing from bricks and mortar to online with home delivery is still underway.  Within that transition, costs are being pared and young consumers’ tastes are better accommodated.  Online has captured about 15% of retail sales, and its share is growing a point or two each year.  Arch rivals, Amazon and Walmart are […]

The Amazon Juggernaut Accumulates Competitive Risks

Amazon started in 1994, initially as a catalog-based bookseller.  The Internet allowed for improvements in reaching customers and Amazon developed a strong platform for electronic commerce, along with a fast delivery service.  That platform now allows for a wider merchandise range that incudes apparel, electronics, books, recordings, sports and outdoor equipment, and auto parts. Amazon […]

Three Cheers for Amazon’s Purchase of Whole Foods

Walmart’s income statement for 2016 showed $486 billion in sales through its 11,695 stores, clubs and affiliates. Costco’s 2016 income statement showed $119 billion in sales through 715 warehouses. Kroger’s 2016 sales were $115 billion through almost 4,000 stores. The merged Amazon and Whole Foods grocery sales for 2017 are estimated at $151 billion through […]

Antitrust Focus on Consumer Welfare and Low Prices

Market power is not the US law’s criterion for antitrust prosecution. In a Yale Law Journal article, Lina Kahn laments that “the current framework in antitrust—specifically its pegging competition to “consumer welfare,” defined as short-term price effects—is unequipped to capture the architecture of market power in the modern economy.” Moreover, “current doctrine underappreciates the risk […]