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  • Category: Miscellaneous

    Strange and weird – Amazon boss asks consumers to cut down on expenses

    For months it was being predicted that a recession is to strike the United States and finally it has struck it seems. The tech sector has been impacted heavily. During Covid times, companies that dealt in online business made hay while the Sun shined. But no more. Consumers have had enough of online purchases, movies, entertainment and education. There has been a shift back to the old offline structure. People are heading back to departmental stores, shopping malls, theatres and real schools & colleges. As a result, incomes of most of these companies have taken a massive hit. There have been massive layoff and freeze on new recruitments across big corporations such as Twitter, Meta, Amazon and a lot more. Add to it, the inflation, especially in the West, has broken the backs of most consumers. Spendings are less anyway. No likelihood of things improving any time soon. On this background Amazon boss Jeff Bezos has sounded an alarm to all consumers, including, his own to hold onto their money. He is saying it is not the right time to buy a new car, refrigerator or a big-screen TV; instead, time to tighten up our purses.

    The sermons are all good. We perfectly understand it is time to cut down on our expenses. However, it coming from someone whose bread and butter depends upon the purchases we do from his online portal, sounds kind of strange and weird. Would not such statements affect his own business further? Is he digging his own grave?
  • #767246
    This is the advice we often hear from elders. We used to hear from elders about the importance of savings. The same suggestion has been given by the chief of Amazon. As mentioned by the author people started moving out and slowly reducing ordering online. During COVID times we were getting at least daily three or four online purchases. But now it is hardly one, once in two days. The same may be the case with many others. So many online companies are suffering.
    So many companies are asking their employees to get away and search for a new jobs. This will affect many people in our country also. So people who are getting good pay packets now should be careful and change their lifestyles and see that they can manage their expenses to the least possible. That will enable them to have some money with them so that when they are jobless also they can manage their expenses.

    drrao
    always confident

  • #767247
    The advice suggested by the Amazon Boss is applicable to we all at this crucial time when there is massive lay offs of the employees from the reputed companies. One may be surprised to hear such a positive advice especially from the the chief of e-commerce operating company such as Amazon. In the past, we have had such advices from our elders to be economical in our spendings so that the saved money could be utilised in case of hardships. In fact, recession is seen almost in all countries at this moment and India is no more exception in the prevailing situation. Even the reputed companies are planning to curtail their expenses wherever it could be possible. It would not be surprising that more and more people might be shown to doors in the upcoming times. Irrespective of source from where precautions are emanating, we should be definitely be cautious in respect of wastage of resources unnecessarily.

  • #767281
    Though it may sound strange, it is something real. When online purchases are less during this time the impact on their businesses is understood and I think the statement of Amazon's boss will be taken by the consumers as a piece of advice. When there is a recession, production also reduces and thus online stores will have less amount of items. The concern will be the items which are already in their stock. This may take some more time to clear up because of the present condition but sales will not be impacted because of the statement. As a popular e-commerce company, the customer base of Amazon will not come down because of the statement of its boss rather it will help the common man to remain cautious.
    Sankalan

    "Life is easier when you enjoy what you do"

  • #767284
    In any case, the Amazon boss is right about what he has said. It is sure a tough time for everyone, be it in the developed countries or the developing ones. With uncertainties in the job market, it is best to defer plans for big purchases like cars, large-screen televisions and so on. Hopefully, with inflation coming down by next year, things should be back to normal and businesses picking up again.
    Patience and perseverance pays

  • #767285
    "However, it coming from someone whose bread and butter depends upon the purchases we do from his online portal, sounds kind of strange and weird. Would not such statements affect his own business further? Is he digging his own grave?"

    - His bread and butter don't depend on the purchases on Amazon! He has enough wealth! His life will be safe even if his wealth drops to 100th richest man from 4th richest. Yes, there is no difference in lifestyle between the top 1st richest man and the top 100th richest man. Both can buy the same private jet, and book the same hotel room,...
    - He is talking about the general purchase of goods and not particularly buying from Amazon.
    - Amazon has other businesses like AWS, streaming, etc.,.

    Cheers,
    M.K.Dan
    The Man With Most 'Ask Experts' Questions.

  • #767287
    What the Amazon boss said about cutting down expenses is absolutely right but I think the statement was an indirect attempt on his part to inform his employees that all was not well. His aim was, probably, to indicate a possible cutting down of manpower in the company and instead of getting into the act directly he has notified them of losing their jobs and so, I think, the statement was sort of an advance justification for an act that is being planned. I agree with the author that it is indeed weird and strange but what if his actual intention behind his saying so was something like what I have tried to decipher? I may be wrong with my assumption but can such a possibility be overruled completely?
    'Knowledge is knowing a Tomato is a fruit. Wisdom is not putting it in a fruit salad.' -Miles Kington

  • #767297
    As opined by Saji Ganesh, the exhortation to reduce expenses is an indirect hint and a sort of anticipatory bail for some unpleasant actions to come in the near future. One of which can be retrenchment of employees or salary reduction.


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