Amazon: Efficient Mindset


  • Amazon keeps driving automation with robots such that cost declines can continue.
  • Efficient communication is used in Amazon meetings with the 6-page memo format.
  • The valuation looks attractive for long-term investors.

Amazon prime boxes and envelopes delivered to a front door of residential building

Daria Nipot


Amazon (NASDAQ:AMZN) has a culture that stresses a focus on customers, long-term thinking, innovation and operational excellence. Efficiency can be defined as maximum productivity with minimum wasted effort. My thesis is that Amazon uses efficiency to meet their cultural

Amazon volume

Amazon volume (Author’s spreadsheet)

Logistics automation

Logistics automation (Bloomberg Illustrator Chris Philpot)

Segment revenue

Segment revenue (4Q22 release)

Operating income by geography

Operating income by geography (4Q22 release)

SBC as a % of revenue

SBC as a % of revenue (Author’s spreadsheet)

Disclosure: I/we have a beneficial long position in the shares of AMZN, BABA, GOOG, GOOGL, META, VOO either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it (other than from Seeking Alpha). I have no business relationship with any company whose stock is mentioned in this article.

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