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The Time May Be Nigh To Break UP Amazon….

Updated on July 17, 2017

The Time May Be Nigh To Break UP Amazon….

I must confess that my family and I do much shopping via Amazon and have taken advantage of the behemoth Internet’s retail store for its convenience and relatively cheap wares; however, my convenience and saving money when shopping will not prevent my sounding the clarion call for Amazon’s break up. I did not come to the decision that Amazon must go the way of Standard Oil -- only that it took the powers that be decades to adjudicate and break up John D. Rockefeller’s Standard Oil for being an illegal Monopoly -- but I hope that when the Amazon case reaches the Supreme Court… and this case, if it indeed comes to fruition, will reach our highest court… that the Court would decide for choice/competition….

With the news that Amazon was in the process of purchasing Whole Food… and with the caveat that if Mr. Jeff Bezos, Amazon’s CEO, is successful in doing so, is what made me come to the decision that if the Washington’s Anti-Trust Division must act to break up Amazon. Now the indicia of Amazon being a Monopoly seem to be overtly conspicuous. The sheer volume of products that can be had via Amazon are not in doubt and the purchase of Whole Foods would give more credence to the legal definition of Monopoly, which includes Vertical and Horizontal Integration. To make it more palatable for lay persons to grasp – and, incidentally, I have included myself among said lay persons - I have also included a hyperlink below with the respective definitions of Vertical and Horizontal Integration.

The polarizing political atmosphere might also come into play in whether Amazon is deemed a monopoly and worthy of being broken up. I have noticed that those who are Liberals, who, in the past, - dad are you reading this - were Sonic-boom loud when speaking out about Wal-Mart’s supposed virtual Monopoly, are equally Sonic-boom, church mouse quiet when it comes to the same virtual Monopoly that Amazon objectively has. It does not help Mr. Bezos, Amazon’s CEO, cause to thwart efforts to label Amazon an Illegal Monopoly when he owns the noteworthy Washington Post, an influential medium outlet that has been intrepid and merciless in its negative critique of President Trump on its editorial pages. The logic being that it is going to be a Trump Anti-Trust division that is going to look at Amazon’s every business -- including its pending purchase of Whole Foods -- moves with, perhaps, jaundiced, overly, meticulous eyes.

It must be noted that the laws governing illegal monopoly -- The Sherman Anti-Trust Law (1890); The Clayton Act (1914), enacted to buttress and augment The Sherman Anti-Trust Law;, and the Federal Trade Commission Act -- discussed the aggressive pricing of Monopolies to weed out competition and one could make a cogent argument that is what is happening with Sears, Target, and JC Penny closings many outlets. The other side of the argument is that Mr. Bezos and his advocates will say that Amazon has built a better business mouse trap to attract consumers and that Mr. Bezos should not be punished for Amazon’s success. Lest I be accused of being a hypocrite, I must confess again that I cannot guarantee that my wife and children will not be shopping via Amazon, taking advantage of its convenience (ordering online and its free shipping) and cheap prices, notwithstanding this blog's admonition of its virtual and actual Monopoly in the consumer shopping space.

I have more than cleared my throat by way of opinion prose on this topical issue and like it is my wont, I have included a song -- DJ Kool’s, Let Me Clear My Throat -- that helps to flesh out the themes of this blog. Drill down into the hyperlink to follow and enjoy this classic.


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