Amazon has reportedly applied much of the unethical business. Everything for the money, right?
A revealing article from the Wall Street Journal today describes an ugly Amazonian practice. According to the newspaper, Amazon used data from independent suppliers to develop its products itself. Amazon has therefore abused data from independent companies that offer products through their online store. Subsequently, Jeff Bezos’ multi-billion dollar company launched competitive products itself.
Amazon therefore makes its own products
Amazon is essentially an online store that sells products from independent companies. But the American conglomerate also manufactures its own products which are offered on the platform. Thus, data from what competitors were basically used to improve Amazon’s own products. It is absurd, of course. Albert Heijn also does not use Heinz customer feedback to develop better ketchup.
As the newspaper describes, “This information can help Amazon. They can then know what price a product should have, which properties to copy and which segments to enter based on the revenues of that segment. The WSJ has information from at least 20 former Amazon employees, as well as current insiders and even someone who has used the data abuse.
This is of course completely unethical and maybe even illegal. Amazon itself has repeatedly stated in official statements (such as against the US Congress) not to do so. But the American economic newspaper has fairly solid evidence against the Bezos gold mine.
Amazon said in a statement to the WSJ: “Like other retailers, we look at the sales and sales data we get from our customers to provide the best possible experience. We strictly discourage our employees from using vendor-specific non-public data to determine which products to launch. “
Still, Amazon has launched an internal investigation to find out what’s going on here. One thing is certain, if we have to, we may not need Amazon in the Netherlands.