Amazon has changed the way Americans shop. It’s also changing the way retailers do business. What does that mean for Central Florida?
An analysis by the Business Journal of retail markets across the country found that Amazon is disrupting local commerce - with the help of taxpayer funded subsidies.
The report said Amazon has reaped the benefits of about $1.25 billion in tax incentives to grow the company.
Sarah Aslam and Veronica Brezina, reporters with the Orlando Business Journal joined Intersection to talk about how Amazon is expanding its footprint in Central Florida with a new fulfillment center scheduled to open in 2018.
Aslam said Amazon is changing how people shop.
"That trend has led to not only Amazon but other tradition brick and mortar business to now have to seek warehouse space to house these goods that their consumers are demanding immediately," Aslam said.
Brezina said that even though the jobs will not be high wage, the new fulfillment center will help the local economy grow.
"So you're giving 1,500 people that do not have jobs, jobs and that's great but the bigger picture is attracting other firms and other businesses to the area," Brezina said.
Meanwhile, Amazon’s search for a site for its second headquarters has triggered a bidding war as local governments try to attract the retail giant.
Brezina said Orlando won't find out until 2018 whether its pitch to Amazon to locate its HQ2 site in Central Florida has been successful.