It is well-known that Amazon uses information from third parties to make business decisions. So why canât the Competition Bureau?
More seriously: Lina Khan's seminal work on Amazon's Antitrust Paradox was published in 2017. In it, she documented how "elements of the firm's structure and conduct post anticompetitive scrutiny - yet it has escaped antitrust scrutiny." Five years later, she now chairs the Federal Trade Commission. Also in 2017, Canada's Competition Bureau levied an administrative monetary penalty on Amazon that was related to pricing representations. Since then, the Bureau has yet to bring a case forward alleging that Amazon has engaged in anti-competitive conduct. Does the âparadoxâ extend to Canada?
Amazon's tactics make it remarkably difficult for the independent merchants that participate in its marketplace. The firm is known to 'steal' the best ideas from independent businesses, privilege its own products in search, and strong-arm sellers to buy its services - even if they would prefer to use other providers. They also steadily increase the fees associated with competing online.Â
I have a new piece in the Financial Post that asks why Canada has been comparatively slow to report back to citizens on Amazon. đ
What else? Iâve been following dialogue on proposed legislation in the US that would prevent self-preferencing. I think Canada should learn from the tactics/strategies/investments that are being made to slow/oppose/block such legislation as we look ahead to a formal review of the Competition Act. đ§´
+ I reference the Amazon fact sheet from the Institute for Local Self-Reliance in the Financial Post, and link to it below.
âď¸ Thanks for reading and I look forward to learning from your comments and emails!
đ Thank you to Denise Hearn + Keldon Bester for their comments on my Amazon draft.