"This is, in some ways, Amazon throwing in the towel on footwear because they've tried to compete with Zappos," said Forrester Research analyst Sucharita Mulpuru. "If you can't beat them, buy them."
It's officially true, Amazon.com plans to acquire rival online footwear retailer Zappos.com. The deal is worth about $928 million in cash and mostly stock. Read the full story here.
Sure, it's a smart move for Amazon.com, but I'm not sure how I feel about my favorite retailer being snatched up so readily by the online giant. What will happen to Zappos' unique company culture and its amazing customer service that helps it stand out the way it does?
Zappos CEO Tony Hsieh addresses the matter:
"A big part of the reason why Amazon is interested in us is because they recognize the value of our culture, our people, and our brand," Hsieh said in a letter on the company’s blogsite. "Their desire is for us to continue to grow and develop our culture (and perhaps even a little bit of our culture may rub off on them)."
Let's hope so.