You might know amazon for its e-commerce and easy accessibility of ordering goods online and having them show up to your door a few days later, but thats not whats making Amazon the majority of its profit.
For its entire lifetime Jeff Bezos has been taking the money Amazon has been making and has put it right back into the company for new innovative technology like "Alexa". Now although not all of its ideas have been successful, it was able to stay alive due to AWS, which is Amazon's cloud computing service.
AWS is what has made Amazon the most money this past few years and with that making Jeff Bezos one of the wealthiest men in the world, with Amazon's current total revenue know being $232.9 Billion.
Sources:
https://www.cnbc.com/2019/02/12/how-amazon-makes-money.html
It's interesting to learn that Amazon did not always make so much money. I do remember when Amazon wasn't used as much, and even eBay was used more. Along with the innovative technology, one thing that I think helped Amazon was Amazon Prime. Amazon Prime changed e-commerce, with making products accessible by being delivered so fast. In the success of Amazon, as a customer I'm very supportive of that aspect of Prime because it benefits me. Of course there is controversy around Amazon and their moral concerns, but from the economic perspective of a customer, it's beneficial.
ReplyDeleteAmazon has certainly grown a lot since its launch in the 90s, and I remember it becoming more popular relatively recently. Things like Alexa, AWS, and their new food delivery service prove that Amazon is still growing. Amazon has recently partnered with stores like Whole Foods so customers can use their Amazon prime accounts to have food delivered to their door. Amazon has a lot of potential and will probably continue to grow.
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