Few other companies can compete with Amazon's ability to use e-commerce to reduce the costs of producing, selling, storing, and making their products as affordable as possible . This is an attribute that has become increasingly important to Americans as they try to make up for the massive loss in average income that accrued during the recession of 2008 and 2009. In an academic article written by two University of Chicago economics students, Ethan Lieber and Chad Syverson, in 2011, “Online Competition vs. offline” a comparison is made between the competition for book sales with the traditional retail store Barnes & Noble and the online book sales of Amazon. In the article the two authors focus on Amazon's ability to reduce Barnes & Noble's costs thanks to its ability to hold less inventory, buy in bulk if necessary and have a lower employment cost per book sold. This was contributing to Amazon's leadership in book sales, becoming the “largest book seller in the world” and currently controlling the book sales market. Another huge advantage that Amazon online sales have over retail stores is the absence of income taxes due to buyers adopting these costs while keeping the price of the product lower. “Only when the online seller “has nexus” in the consumer's state is sales tax automatically added by the business to the transaction price. (16, Lieber, Syverson)” This shows
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