The world’s way of shopping will eventually come to an end. Amazon, one of the United States’ largest retail companies, will eventually fail. The idea of the downfall of Amazon may be scary because of Amazon’s growing success and consumer popularity, but as Isaac Newton stated, what goes up must come down. The upward trend in Amazon’s revenue goes back over a decade and is expected to continue growing for years to come. Unfortunately, Amazon’s increasing trend in revenue will eventually come to an end and begin decreasing. Amazon’s upward trend will come to an end in the year of 2029 due to the emergence of another successful retail company, a more efficient way of shopping will become available to the public, and consumers will become dissatisfied with Amazon.
Amazon.com, Inc. was founded on July 5, 1994, by Jeff Bezos in Seattle, Washington. Amazon initially began as an online retailer for books. Bezos found early success as his online bookstore “had shipped books to all 50 U.S. states and to 45 countries (History).” Because of the early success, Bezos expanded Amazon to the market of selling electronics, toys, and several other products. Through the years, Amazon participated in the buying of other companies which formed the corporation Amazon is today. Today, Amazon is known as the most valuable retailer in the world with a market value of over two hundred and fifty billion dollars.
As successful as a company may be, the future will always bring a replacement. Amazon itself began as a company which led to a downward trend of other companies. In fact, Amazon caused a direct negative impact on the book retailer Barnes and Noble. Amazon created a downward trend for the total revenue of Barnes and Noble as Amazon became the top book retailer in the world (Hankin). Studies from market analysts show even the successful companies experience a downfall and do not go on forever. In 2015, Walmart released a decline in revenue for the first time in company history (Stephens). Amazon will experience a downtrend in revenue when a new successful company emerges similar to the negative impact Amazon caused by other companies. History repeats itself, so eventually, a new successful company will lead to the downfall of Amazon.
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Furthermore, Amazon created one of the most efficient ways of shopping which helped lead Amazon to success. Eventually, a new successful company will provide the public with a new more efficient way of shopping. The efficient way of shopping Amazon introduced which allowed consumers to buy products without having to go to the store and fight the crowd changed the retail industry. Unfortunately, Amazon’s way will eventually be replaced by an even more efficient way to shop. The downfall of Amazon will be a product of its own creation. It is only a matter of time before a new successful company with a new efficient way of shopping becomes available which will end Amazon’s uptrend of success and lead to the downfall of Amazon similar to the impact Amazon created on other retail companies.
Lastly, consumers will eventually become dissatisfied with Amazon. No matter how satisfied consumers are with companies, economical studies show a customer’s satisfaction will eventually decrease. Currently, “for the ninth consecutive year, customers rank Amazon #1 in customer satisfaction (Customer Rank).” Studies show the majority of commercial innovations are a result of customer satisfaction (10 Studies). The unpreventable customer dissatisfaction will lead to a new successful company creating a downward trend for Amazon. Also, customers do not experience a personal connection with Amazon like they would at retail stores because of Amazon mostly being an online retail store. Amazon’s lack of personal human help for customers will also contribute to the eventual customer dissatisfaction with Amazon.
Overall, customer satisfaction has a direct impact on a company’s success, and the future unavoidable customer dissatisfaction will contribute to the downfall of Amazon. In contrast, market analysts predict Amazon’s success and dominance will stand the test through time and continue to grow. Antonio Carradinha believes Amazon will continue “increasing in value through continuous endogenous growth” and will “rise forever” (Carradinha). Also, because of Amazon’s involvement in online retail and computer service, “the probability of going out of business very unlikely” according to Carmen Roman (When). Although many analysts believe Amazon will never experience a downward trend in revenue, history contradicts their statements. Throughout history, the world has seen some of the most successful companies experience a downfall like Sears which opened in 1893. The Sears company grew to be one of the most successful companies in the world over the 20th century, and more than a hundred years later Sears filed for bankruptcy in 2018 showing even the most successful companies undergo a downfall.
In conclusion, Amazon will experience a downward trend in revenue despite experiencing an upward trend since opening. Even Amazon’s founder, Jeff Bezos, “[predicts] one day Amazon will fail” and “will go bankrupt” (Rushe). Because of the emergence of another successful retail company, a more efficient way of shopping becoming available to the public, and customers becoming dissatisfied with Amazon, Amazon’s upward trend in revenue will come to an end in the year of 2029 and will start to decline in a downward trend.
