As Amazon Shutters Physical Stores, Should Retailers Be Worried?
Amazon (NASDAQ: AMZN) was never able to get brick-and-mortar retail right, and now it's closing down all 68 bookstores, 4-Star stores, and Pop Up locations, while focusing on its agglomeration of grocery store concepts.
Although the physical stores never really amounted to much in terms of revenue -- about 3% of last quarter's $137 billion -- the decision proves just how hard retail is, and how it's only gotten worse since the pandemic. Supply chain woes and a protracted labor shortage mean brick-and-mortar retailers have a whole new set of challenges to overcome, ones not even Amazon's vaunted empire can resolve.
That raises the obvious question of whether retailers should worry if they will be able to survive if Amazon can't even make it in the physical world.
Source Fool.com
