Too Long; Didn't Read

Amazon's influence in both online marketplace services and superstores is fortified by intricate feedback loops, network effects, and strategic barriers to entry. As online superstores and marketplaces rely on each other's scale, the interplay between shoppers and sellers intensifies competition, making it exceedingly challenging for new entrants. Amazon's all-or-nothing Prime strategy further raises entry barriers, blocking rivals from attracting shoppers solely on their merits and artificially elevating costs for competitors. These tactics stifle competition and maintain Amazon's dominant position, leaving rivals struggling to break the cycle.

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