Should Amazon Investors Be Worried About Jet.com and Wal-Mart Inc.?

Should Amazon Investors Be Worried About Jet.com and Wal-Mart Inc.?

Investors of Amazon.com Inc. do not seem to be too worried about Wal-Mart Stores Inc. strong step to entering the e-commerce market, if the trading is any indication. In reality, Wal-Mart just saw sales that could be viewed as a rebirth for the world’s biggest retailer. Buckle up because online shopping could become very competitive in the next few months.

Amazon should be worried about certain things that Wal-Mart has utilized in achieving these sales. Mainly Jet.com and even more Jet CEO Marc Lore, trained by Jeff Bezos.

Many experts believe that Amazon having allowed Marc Lore to leave the organization has cost the company big time, as he was apart of Amazon. Marc Lore founded Jet.com and Quidsi. Quidsi was sold to Amazon for $550 million in 2010. Some even think that Wal-Mart could eventually take on Amazon as the biggest online shopping firm in the world.

Amazon reached 22 percent year-over-year growth at $43.7 billion last quarter. The only worry should be distribution as Jet.com has launched two-day shipping service without any membership fees. The catch is that you must spend $35 to be qualified. The environment for online retailers is going to continue to be filled with tough competition.

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