What If Amazon Went Bankrupt?

Summary

This video explores Amazon’s incredible growth from a small online bookstore in 1993 to a global tech and e-commerce giant. With an annual revenue of $232 billion in 2018, Amazon is a major player in the market, affecting both the economy and consumer behavior. The video discusses Amazon's impact on jobs, with automation and millions employed worldwide, while also exploring the consequences of its potential disappearance. The loss of Amazon would disrupt countless industries, from third-party sellers to AWS users, and leave consumers scrambling for alternatives. Amazon's reach, particularly in e-commerce and cloud services, has made it an indispensable global force.

Takeaways

• 😀 Jeff Bezos founded Amazon in 1994 as an online bookstore, which soon evolved into a global e-commerce giant.
• 😀 Amazon's name was inspired by the Amazon rainforest, reflecting its founder's desire to create a diverse marketplace.
• 😀 By 2011, Amazon generated $17 billion in sales, and by 2018, it reached $232 billion in revenue.
• 😀 Amazon is the third-largest company globally by market value, worth $916.1 billion, trailing only Microsoft and Apple.
• 😀 The company’s e-commerce dominance is highlighted by its control of 49% of the U.S. e-commerce market as of 2018.
• 😀 Amazon's global influence in retail has made it a major competitor in the online shopping space, particularly in comparison with Walmart.
• 😀 In 2018, Amazon employed 650,000 people, far fewer than Walmart, but still representing a massive workforce.
• 😀 The company uses approximately 100,000 robots worldwide to automate warehouse tasks, affecting jobs in the logistics sector.
• 😀 Amazon's presence is crucial to millions, with 310 million active customers globally and significant market share in various countries.
• 😀 Amazon Prime's subscriber base continues to grow, with 90 million Americans subscribed, and the service reaching 122 million globally by 2022.
• 😀 If Amazon disappeared, it would leave a void in the e-commerce landscape, displacing millions of third-party sellers and affecting customers and workers worldwide.

Q & A

What year did Jeff Bezos start Amazon and what was its original purpose?

Jeff Bezos started Amazon in 1993 as an online bookstore, with the goal of creating a diverse marketplace, eventually expanding beyond books.

Why did Jeff Bezos name the company Amazon?

Bezos named the company Amazon after the Amazon rainforest, which is known for its biodiversity. He wanted his marketplace to be similarly diverse in the range of products it offered.

How much did Amazon generate in sales by 2011?

By 2011, Amazon's sales had reached $17 billion.

What was Amazon's revenue in 2018?

Amazon's revenue in 2018 was $232 billion.

Where does Amazon rank in terms of market value compared to other companies?

Amazon is the third-largest company in the world by market value, worth $916.1 billion, after Microsoft and Apple.

What is Amazon's standing in terms of yearly revenue, and how does it compare to Walmart?

Amazon ranks as the 13th largest company in the world in terms of yearly revenue. While it’s not the largest retailer in terms of revenue, Walmart holds that position.

How many employees did Amazon have in 2018, and how does that compare to Walmart?

In 2018, Amazon employed approximately 650,000 people, significantly fewer than Walmart, which employed around 2.2 million people.

What percentage of U.S. e-commerce spending does Amazon account for?

Amazon earns 49 cents of every e-commerce dollar spent in the USA, making it the dominant player in the U.S. e-commerce market.

What would happen to workers and third-party sellers if Amazon disappeared?

If Amazon disappeared, many workers, especially in fulfillment centers and warehouses, would lose their jobs. Additionally, over 50% of Amazon's sales come from third-party sellers, who would need to find alternative platforms.

How many Amazon Prime members were there in 2019, and how would their lives be affected if Amazon disappeared?

In 2019, there were 90 million Amazon Prime members in the U.S. If Amazon disappeared, these subscribers would lose access to benefits like fast shipping, video content, and exclusive deals.