5. Is Amazon the start of the “retail apocalypse”?
The wave of store closings and bankruptcies known as the “retail apocalypse” has come to be symbolized by Amazon. The owners of smaller businesses blame the company for being a major competitor that makes them go bankrupt.
And while it is true that the low prices, patient shareholders, high convenience, and almost unlimited selection of products can be intimidating, Amazon is not the only force that disrupts smaller businesses.
Because of the retail bankruptcy, some small retailers even made court filings that referred to e-commerce as one of the factors that led to the financial crisis. But some of these retailers also had large debts or ill-timed expansions.
Retailers who are in good financial shape have had far better success making investments and adapting. Beyond debt and shopping trends, the U.S. is frequently perceived as being overstocked, and consumers are spending more on experiences than things.
