Day 2

Good or Bad? California AG Sues Amazon For Blocking Price Competition

Episode Summary

The California Attorney General's office filed a civil antitrust and anti-competition lawsuit against Amazon. In this episode, Shannon and I dissect the implications of this lawsuit on sellers, consumers, and Amazon themselves. Stay Tuned!

Episode Notes

The California Attorney General's office filed a civil antitrust and anti-competition lawsuit against Amazon while they were having their Accelerate Seller conference in Seattle.

The lawsuit alleges that Amazon artificially keeps prices high on the internet by stifling competition in violation of California's Unfair Competition Law and Cartwright Act.

This is a significant lawsuit with huge implications for sellers.

In episode 10 of this podcast, Shannon and I talked about Buy Box Suppression and how this practice affects sellers wishing to list their products in other marketplaces.

This is exactly what Amazon is being accused of doing in this lawsuit.  

It's baffling to understand why Amazon does this because they dominate the online retail space and have a far superior service to other ecommerce sites. They can compete with these other marketplaces without resulting in this practice that harms sellers greatly.

In this episode, Shannon and I dissect the implications of this lawsuit on sellers, consumers, and Amazon themselves. Stay Tuned!

Key Takeaways

- Amazon sued by California AG (02:55)

- What the lawsuit alleges (05:50)

- Is the lawsuit merited to create change (12:59)

- How long can sellers continue absorbing fees (13:23)

- Other pending litigation Amazon is facing (20:03)

- How Amazon feels about these lawsuits (25:53)

- Can Amazon command a higher price for products (28:43)

- Implications for sellers (31:28)

- Freedom of choice and innovation (37:38)

Additional resources:

- Schedule a FREE consultation with the Ave7 team

- Grab the FREE Amazon Seller Central Checklist

- Get the book “The Amazon Jungle” book by Jason Boyce

- Learn more about Avenue 7 Media

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Day 2 Podcast has a goal of helping Amazon sellers learn how to launch, grow and protect their brand on the world's largest online marketplace (and beyond).

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