Global uncertainties have pushed most multinational companies to scale down their presence and optimise costs in a bid to protect the margins
Published 29.04.23, 04:58 AM
Amazon has skipped the updates on its Indian businesses in its first quarter results announced Thursday. Previously, the Indian operations featured prominently in the e-commerce giant’s results details.
Throughout 2022, every quarterly earnings statement of Amazon had highlighted the initiatives the company had taken in various lines of its business in India such as introduction of electric vehicles to its delivery fleet, new shows aired on Amazon Prime and stepping up export targets to $20 billion by 2025.
The trend was also visible in 2021 and in 2020 with the announcements around Great Indian Festival sales. According to a report from Techcrunch, the absence of India in the quarterly earnings and investor call was the first since early 2014.
Over the past few months, Amazon has shut down multiple services in India including food delivery, online learning platform for students and wholesale distribution with market analysts predicting a potential scale down of business amid global restructuring that includes layoffs.
Global uncertainties have pushed most multinational companies to scale down their presence and optimise costs in a bid to protect the margins.
According to industry observers, Amazon’s role in the growth of e-commerce in India cannot be discounted. But at the same time it has also faced multiple challenges including regulatory and legal hurdles most noticeably in its battle with Future Group and Reliance as well as from brick and mortar retail.
Amazon on Thursday reported a continuing slowdown in its cloud computing unit AWS but stronger than expected revenue and profits for the first quarter sent its stocks higher in after-hours trading.