While brick and mortar retail is facing the biggest challenge in years, retail stores as a channel are not going away. The key to running a successful brick and mortar store lies in executing a careful trade-off between high efficiency and high customer experience. An excellent work by an operations colleague Kesavan shows that “treating your employees with stable schedules” does not have to be a trade-off.
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Amazon has tripled its profit margin in 2018. Is this the year investors were waiting for? The year in which Amazon “turns on” the profit faucets? I argue (using the recent news on 1-day delivery) that we will see more reinvestment and continued scaling with thin margins.
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