Amazon is going to do what it did for books – for almost everything.
This will have dramatic and disastrous effects upon our economy.
They may have no evil intent, but taking their operations ethic forward a few years will cause calamity.
Remember what Amazon did to book shops, to book retailers and distributors. Not many grieve the shift from control of the book market by short sighted publishers, however other affects are more serious. Over half of the book shops in the UK have closed down; resulting in the loss of a substantial number of jobs. Those jobs paid higher wages than the substituted zero hour contracts of the far fewer replacement work at Amazon distribution centres.
Those book shops and other associated industries paid taxes, and contributed to the local community, and employed people who knew something about the books. Amazon don’t.
Amazon pay no tax.
Amazon profits go to the United States. They pay (some) tax there!
The other big losers are authors, those that generate the books in the first place. Authors, unless they sell thousands of books, make meagre profits for their works. Yes its possible to be self published through Amazon and sell books through Amazon, but their terms and conditions pay meagre amounts. And they make certain that authors have to pay their own taxes, first before receiving payment!
Some businesses have benefited from this shift. Like the postal delivery services – but for how long? How long will it be before Amazon have their own postal service?
I wrote a book about Amazon’s dubious methods when dealing with authors and book publishers. I suggested that they all have their own independent websites – pooled into a central Book selling and promotions portal. But it was too late and few took any notice.
The public enjoy the benefits of cheap books; but it changed the public’s concept of book valuation and ruined businesses, and employment.
Currently Amazon makes the proud boast that it can sell anything.
Just think of the displacement of all those businesses, products and jobs that now have to contend with the very same effects happening to them; which has already befallen the book industry.
The spectre of multiple businesses being lost, competitive forces ironing out competition, and many many more jobs reduced to lower wages and zero hour contracts.
The government don’t seem to have the brains, the planning nor the prescience to see what’s developing; they just hoot about how unemployment is falling. But effectively its forcing people off the dole and into shelf-staking and other low paid warehousing jobs. This practice only removes those people from one list to another as they will be claiming employment top up living allowances.
And have I mentioned that all these bushinesses that used to contribute wont be doing so in the longer term, the work force will primarily become no-skilled shelf-stacker’s…. that Amazon can claim assistance for as “apprentices” and Amazon by lobbying the politicians will keep on paying no taxes: