retail news in context, analysis with attitude

The New York Post reports that Amazon "is believed to be eyeing the corporate business unit of Office Depot," which would allow it to jump-start its new office supply business." If it acquired that business, the Post writes, it would likely remove one of the impediments to Federal Trade Commission (FTC) approval of Staples' proposed purchase of Office Depot.

The FTC has sued to stop the merger, concerned, among other things, that it would eliminate all competition in the corporate business sector.

According to the story, "While no decision has yet been made about whether Jeff Bezos’ $272 billion market-cap company will ink a deal, there has been talk on Wall Street that the chief executive was looking to expand his Amazon Business footprint ... This month, Amazon - answering a Staples subpoena in that chain’s battle with the Federal Trade Commission decision to block the Office Depot merger - said it wanted to keep confidential several operational planning documents that, in detail, explain its business goals and the requested investment that Amazon Business was seeking from the company as a whole to achieve its aims."

There are also have been reports that Amazon could be interested in acquiring the privately held WB Mason office supplies chain.
KC's View:
I've been arguing all along that I did not understand the "dearth of competition" position, since there is so much competition online. Some have said that corporate and government contracts are the problem, but I think that maybe governments and companies could be a lot more effective, efficient and transparent if they started shopping at Amazon. This kind of acquisition would make such a shift even easier.