Guardian’s November report titled ‘Jeff Bezos tells employees one day Amazon will fail’ had raised many eyebrows. In fact, he had rightly pointed out an historical precedence, that if you look at large companies, they have a lifespan of 30-plus years only.


In October, Sears, once the world’s largest retailer had filed for bankruptcy. They had failed to compete with Amazon. Amazon’s founder Mr. Jeff Bezos is the world’s richest man. American cities, most recently, were queuing up with their offers to woo for Amazon’s headquarters in their jurisdiction.


Jeff in a meeting with his staff had predicted that Amazon will go bankrupt within a life span of 30- plus years. Let’s look at why he made such a statement and will Amazon really go bankrupt.


1. According to Jeff, Amazon is not too big to fail. If Amazon starts looking inward and condition their obsession from a customer centric retailer to an inward looking retailer, Amazon may end up with the same fate that of the Sears. Jeff said “If we start to focus on ourselves instead of focusing on our customers, that will be the beginning of the end”.

2. A growing resistance against Amazon’s hegemony could also backfire the prospects of the company in the near future. Recently, the company’s data use policy had come under antitrust investigation by the European regulators.

3. Political meddling may also affect the prospects of Amazon. Jeff owns the Washington post, a sharp critic of Trump’s administration. In retaliation, Trump could call for an investigation into alleged tax evasions.


Amazon is still a giant in retail sector and as a company valued at approximately $1trn a fail may not be imminent. But if we draw parallels to the lifespan of some of the giants, Bezos was right in his prediction that Amazon will go bankrupt one day.

image courtesy: business insider

content courtesy: the guardian

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