October 17, 2012

How Amazon Saves a Ton of Money


With $48.1 billion in net sales last year, Amazon is certainly the leading Internet retailer. But how does the company fare in other areas, such as employee satisfaction and corporate social responsibility?



Not so well, according to an infographic from MBAOnline, a website that curates business information from the top minds in the blogosphere.

In fact, Amazon seems to put saving money ahead of many other priorities. For example, on a 102-degree day in June 2011, 15 workers in an Amazon warehouse collapsed from the lack of air conditioning, six of whom needed to be rushed to the emergency room. And despite a $5 billion cash reserve, Amazon donates nothing to charities — if an employee wants to deduct a donation from his or her paycheck, he or she has to pay an additional fee.

But Amazon surely knows how to cut corners. The company removed the light bulbs from all of its vending machines to save $20,000 a year.

Do you think Amazon’s money-saving initiatives go too far, or do you think it shows good business sense? Share your opinion with us in the comments.

Amazon MBA: Big, Cheap & Out of Control

Source: MBAOnline.com                                                                                                                     Matt Petronzio|Mashable

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