
Bezonomics
How Amazon Is Changing Our Lives, and What the World's Companies Are Learning from It
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Narrated by:
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Dan Bittner
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Brian Dumain
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By:
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Brian Dumaine
About this listen
Amazon is the business story of the decade. Jeff Bezos, the richest man on the planet, has built one of the most efficient wealth-creation machines in history. Like a giant squid, Amazon’s tentacles are squeezing industry after industry and, in the process, upsetting the state of technology, the economy, job creation and society at large. So pervasive is Amazon’s impact that business leaders in almost every sector need to understand how this force of nature operates and how they can respond to it.
Saying you can ignore Jeff Bezos is equivalent to saying you could ignore Henry Ford or Steve Jobs in the early years of Ford and Apple. These titans monumentally changed how we do business, redefining the rules on a global scale. Amazon founder Jeff Bezos is the new disruptor on the block. He has created a 21st century algorithm for business and societal disruption. He has turned the retail industry inside out, is swiftly dominating cloud computing, media and advertising, and now has his sights trained on every other domain where money changes hands and business is transacted.
But the principles by which Bezos has achieved his dominance - customer obsession, extreme innovation and long-term management, all supported by artificial intelligence turning a virtuous-cycle 'flywheel' - are now being borrowed and replicated. 'Bezonomics' is for some a goldmine, for others a threat, for still others a life-shaping force, whether they’re in business or not.
Brian Dumaine’s Bezonomics answers the fundamental question: how are Amazon and its imitators affecting the way we live, and what can we learn from them?
Critic reviews
The industry standard for all future business!
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Insightful to a degree
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The author is in Love with Besos, he tries to give both sides of the argument but it’s still highly slanted.
The author explains that Amazon’s strategy is to invest massively in a sector they don’t understand, and is willing to loose money for years until the competition can’t keep up. They were subsidised by UPS for delivery, food stamps for their employees etc for their first decade or so. Items were and are often sold at a loss. So items are cheap but the tax payer subsidised every item sold, oh and in the US they mostly didn’t pay sales tax for years. The Besos economic strategy is to rely on the stock market for working capital while you weed out all competitors and then attracting short term market place sellers while you steal their data and employees / delivery whom eventually they will eventually replace with Robots.
Some scary stories about Amazon competing with their market sellers, who then borrow money directly from Amazon to try to get economies of scale to survive and then Amazon cut their credit line once they have own branded the product hence removing the partner / now competitor from the equation. The Seller in the story lost everything they had earned over years, Amazon added some more numbers (at a loss most likely) to their top line. Wonder why the seller couldn’t compete? The book tells that Amazon offer Chinese sellers cheaper shipping to their us ment centres than the US sellers using their service (in exchange for knowing which factory to collect from incase they want to use the data to cut out the seller).
At times the book feels like the writer had a word number target so did a find / replace to include the word “fly wheel” everywhere unnecessarily. It’s annoying.
Overall being a retail entrepreneur in a world of Amazon is far more risky, but thereare opportunities. If you have a business that Amazon can compete with, consider Pivoting now or make a strategy of being the seller of second choice (ie raise your prices and provide better service and hope some of the customers will appreciate that enough not to take the advice and then not being willing to pay enough to cover the advice givers wages).
Saying that the book makes you feel buying from Amazon makes sense as buying from another company means your are paying more as they will be subject to more taxes - so you are opting to contribute more tax and to pay more. If they are willing to sell at a loss, your gain right? For now. And what person living on the normal (taxed) average wage thinks with Besos economics, if Amazon spend more than they make for a decade they go up in value and have an end game in mind, if a person does it their house is repossessed and their end game is homelessness and working in an Amazon fulfilment chain.
Could be in the horror section …
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Drink every time you hear "flywheel"
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Not all ventures have been successful though such as Amazon's for example the company's foray into smart phones via its Fire Phones was a disaster. Generally though, when Mr Bezos decides to go for something he does it big time, providing the six page proposal is comprehensive, and he has room to fail too which lets him take more risks.
Amazon is not without its critics though and there are examples quoted here of staff working in fulfillment centres with less than fulfilling jobs and well documented attacks on the empire from Bernie Sanders and others. There is a threat that Amazon could well become too powerful and suffer a similar fate to those early US business magnates Rockefeller and Mellon whose empires were broken up by Roosevelt's anti-trust legislation at the beginning of the last century. Generally, Mr Dumaine is decidedly pro-Amazon and considers that any criticism on Amazon is an attack on free market capitalism. Maybe Amazon really is the smartest company the world has ever seen.
The smartest company the world has ever seen?
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Ive had several businesses over the years and we have just had to start selling online and encorporate a fast delivery service.
I got alot of ideas from reading this book which I have no doubt will prove very useful to me.
I also found Bezos as a subject hugely motivational and inspiring.
Anybody interested in business would benifit from listening to this audio book.
Business masterclass in a nutshell
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Interesting hagiography
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if I hear "AI flywheel" once more I'll scream
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Great book about Amazon.
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A true eye opener
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