Amazon’s turbulent period could spell an irreversible decline
Good morning! It’s National Peanut Butter Day - a real "nuts and bolts" celebration of the supply chain that brings this tasty spread to our jars. You’re welcome, for that one. 🥜
————
Amazon is a highly successful and innovative company, but it is also operating in a very competitive market. It’s a household name with a variety of growing problems, including increased competition from other e-commerce and technology companies, rising costs associated with expanding its business and operations, and potential regulatory challenges. As the company continues to grow, it may become more difficult for it to maintain its culture of innovation and agility.
Recently, the company issued one of the largest rounds of corporate layoffs in its history, sacking 18,000+ corporate employees. The clouds are overhead, and Amazon employees are beginning to panic. Can CEO Andy Jassy ease worries as stakeholders and stockholders begin to raise more questions?
Check out today’s featured article from Vox to read about the future of Amazon, a tech giant that may be hitting its plateau. Besides corporate layoffs and halting construction of distribution centers, what can Amazon do to reverse course? ☕️
Featured Article:
Inside the battle for the future of Amazon | Vox
“After the largest corporate layoffs in its history, the tech giant is at a crossroads.”
Electric Vehicles & Marketing Approach 🔋
Once the EV pioneer in the manufacturing space, Toyota's reputation has declined
Toyota has been slow to develop and bring electric vehicles to market, compared to other major automakers. While many other companies have been investing heavily in electric and hybrid vehicles, Toyota has been more focused on developing and promoting its hybrid technology, known as the "Hybrid Synergy Drive," which uses a combination of gasoline and electric power. Another reason for the decline in Toyota's reputation in the EV space is the company's lack of commitment to fully electric vehicles. Toyota has been criticized for not investing enough in battery technology and for not having a clear plan for the transition to fully electric vehicles. This lack of commitment contrasts with other major automakers such as Tesla, GM, and Ford, that have announced ambitious plans to transition to fully electric lineups.
Additionally, Toyota has been criticized for lobbying against government policies that support the development and adoption of electric vehicles, such as tax credits, emission standards, and regulations. This has also affected the company's reputation among consumers and industry experts who see this as a sign that the company is not fully committed to the transition to electric vehicles. In recent years, Toyota has made some efforts to improve its reputation in the EV space, such as announcing plans to develop and sell more electric and hybrid vehicles, but it still needs to make more significant investments and commitment to fully electric vehicles and to show its support for policies that promote the transition to electric vehicles.
Food Logistics & Safety 💪
Agricultural supply chain dealing with worst avian flux in US history
According to the Wall Street Journal, the worst avian-influenza outbreak in United States history has been spreading through domestic poultry flocks for the past twelve months. This flu is likely stressing the consumer markets for poultry meat and eggs, both of which are being affected as millions of hens and turkeys die from the disease.
Avian flu is a highly contagious viral infection that affects domesticated birds, including chickens. Besides its high mortality rate, it can also lead to quarantine and culling of flocks - leaving the farm no choice but to kill all of the birds on the farm in order to prevent the spread of the virus to other farms. This can cause further financial losses for farmers, as well as disrupt the supply chain for poultry products. Experts are saying that the only thing that can be done at this point… is let the flu run its course.
Let’s Get Global 🌎
Season 7 Mystery With A Twist GIF By SpongeBob SquarePants via GIPHY
🇪🇺 Chinese rare earth metals need to be shipped via train from Russia to Europe. But will it be that easy? While Ukraine’s allies ponder whether they should provide the country with modern tanks in order to defend itself from invading Russia, the European Union is weighing its options. Currently, the Russian Railways cargo route remains the most crucial route for the European rare earth elements industry and does not fall under the sanctions imposed against Russia. Chinese tungsten mines account for more than 83% of world production, and Russia could retaliate against European movements to assist Ukraine by increasing the costs of transporting those goods to the EU.
🤝 Ford accused of using relationship with Chinese CATL to undermine the IRA legislation. Virginia Governor Glenn Youngkin is speaking out after withdrawing his state from consideration for the highly-anticipated electric-vehicle battery plant as a joint venture between Ford Motor Co. and Contemporary Amperex Technology Co. Ltd. (CATL). Youngkin claims that CATL and the Chinese Communist Party are being used by Ford Motor Co. to benefit from the direct subsidies for EVs and batteries made in North America under the recently passed Inflation Reduction Act. Youngkin says he would’ve welcomed Ford to his state if the company was not partnering with a company that is “controlled by the Chinese Communist Party.”
☀️ Transitioning to clean energy means more dependence on China. Countries that are pivoting to cleaner energy sources, such as wind and solar power, often have to depend more on China for the necessary technology and equipment because China is a leading producer of these technologies and has a well-established industry for renewable energy. China has invested heavily in research and development in renewable energy and has become one of the world's largest manufacturers of solar panels, wind turbines, and other clean energy equipment. China has been able to produce renewable energy equipment at a lower cost than other countries due to economies of scale, lower labor costs, and a favorable exchange rate.
iLevel With You 🏡
More topics for the average American household to consider…
🏠 Biden’s fighting climate change, one household at a time. Meeting the United States’ goal of cutting greenhouse gas emissions in half by 2030 will require Americans at home to begin buying more electric cars and installing more solar panels. The problem of course being… these goods are expensive. Households are a significant source of greenhouse gas emissions with the energy used for heating and cooling buildings, as well as for powering appliances and vehicles. By making changes such as using energy-efficient appliances, reducing vehicle usage, and using renewable energy sources, individuals can significantly reduce their own greenhouse gas emissions and help the government meet its goals.
🔦 Energy Secretary Jennifer Granholm was on the hunt at the CES show. Energy Secretary Jennifer Granholm is the head of the United States Department of Energy (DOE), which is responsible for formulating and implementing national energy policy. The DOE plays a critical role in addressing energy-related issues such as increasing energy efficiency, developing and deploying clean energy technologies, and safeguarding the country's nuclear weapons stockpile. Sec. Granholm made a visit to the Las Vegas Consumer Electronics Show (CES) show - an annual technology trade show held in Las Vegas, Nevada. It is one of the largest and most influential technology events in the world, attracting companies and individuals from a wide range of industries, including consumer electronics, technology, and entertainment.
💰 US opinions about capitalism are varied. Some people view capitalism as the foundation of the American economic system and believe it is responsible for the country's prosperity and success. They argue that capitalism promotes individual freedom and encourages innovation and hard work, leading to greater economic growth and higher living standards. Others, however, view capitalism as a flawed system that leads to economic inequality and social injustice. They argue that capitalism prioritizes profit over people and can lead to monopolies, economic instability, and environmental destruction. Recent polls and surveys show that the majority of Americans view capitalism as preferable to socialism, with around 60-70% of people having a positive view of capitalism.
🎈 Party City is no longer partying. The retailer filed for Chapter 11 bankruptcy after a series of competitive challenges struck the business, including social gatherings being shunned over the pandemic era and inflation costing the company. The company has faced increased competition from online retailers, which made it difficult for them to maintain its market share. Party City had also faced rising costs associated with e-commerce and supply chain logistics.
Get Smart 🧠
Ramp up that brain power for these advanced topics…
💨 CPChem is embracing digital transformation with Seeq. Chevron Phillips Chemical (CPChem) is a leading global petrochemical company that produces a wide range of chemical products. CPChem recently chose to incorporate Seeq - an analytics platform - to assist the company to create a common framework for its operation sites. Seeq’s software helps industrial companies to improve the efficiency and performance of their operations by allowing them to access, analyze, and visualize large amounts of data from industrial systems and process equipment. The software can be used to monitor and optimize production processes, detect and diagnose equipment malfunctions, and identify trends and patterns in production data.
🚂 Federal rail regulators are monitoring the use of embargoes. Rail regulators do not generally like increased use of embargoes, or temporary suspensions of rail service, because they can disrupt the flow of goods and cause significant economic and logistical challenges for shippers and other stakeholders. Embargoes can cause delays in the delivery of goods, leading to increased costs and lost revenue for shippers. They can also make it difficult for businesses to plan their operations and supply chains, as they may not know when service will be restored. Embargoes can also cause a backlog of railcars at origin and destination, leading to equipment and capacity constraints.
🔋 GM and LG no longer partners on joint-venture domestic battery plant. General Motors Co. has stated they still have plans to build another battery plant state-side, however, that the company has not specified if LG Energy Solutions will be partnering on the project. The change of tune signals that the relationship between the two companies is growing tenser. The partnership began in 2016 when GM announced that it would use LG's battery technology in its upcoming electric vehicles. Since then, the companies have expanded their collaboration to include other areas of EV and AV technology, such as electric drive units, power electronics, and infotainment systems.
The Workday Dash is an aggregation of articles regarding the transportation logistics, trucking, and supply chain industries for November 28, 2024, from iLevel Logistics Inc.