Amazon is facing constraints in short run as either as you have
stated that they are imposing taxes on some of their sales; however, Amazon is
anticipating this and has already planned to diversify its investment to
include the recent purchase of whole Food in 2017 for $13.7bn
(Phillips-Connolly & Connolly, 2017). Also, Amazon has recently opened its
stores called Amazon Go that will drastically change the way people shop from
traditional stores as they have implemented artificial intelligent in these
store. Amazon is currently planning to open many of these stores around the
U.S. Therefore, I do agree with you that Amazon is facing some competition in
the near run, yet the way Amazon utilize IT technologies would sure place them
ahead of their competitors in the long run.
Reference
Phillips-Connolly, K., & Connolly, A. J. (2017). When
amazon ate whole foods: Big changes for big food. International Food
and Agribusiness Management Review, 20(5), 615-622.
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