Multi-billionaire Bezos believes we’re in for a tough time. Anyone who has money left should therefore still hold on to themselves.
In an interview with US news channel CNN, Amazon founder Bezos warns against spending money on expensive purchases without thinking. The reason for this is the difficult situation in the global economy.
“Close the bulkheads”
Experts predict a period of economic downturn and even a possible global recession. That’s why Bezos advises avoiding major spending in the coming months as much as possible. He encourages consumers to postpone expensive purchases such as TV sets, refrigerators and cars for the time being. During a prolonged economic downturn, the money saved in this way could help to make ends meet. According to Bezos, small companies should also postpone investments and acquisitions.
Like Germany, the USA is “strictly speaking” not yet in an economic recession. Nevertheless, the increased prices caused by inflation, especially for groceries, are having a similar effect on consumers. In the interview with CNN, Bezos therefore said: “Take some risk off the table. Try to reduce some risk in your business or in your life.” Back in October, Bezos advised in a tweet about the current economic situation: “Shut up the hatches.”
Amazon plans mass layoffs
For Amazon, reduced willingness to buy due to the difficult economic situation means slower growth. Amazon CFO Brian Olsavsky expects consumers to spend significantly less money in the holiday shopping season.
An insider told Reuters that Amazon plans to lay off about 10,000 workers. That’s about three percent of the US workforce. It would be the largest layoff in the company’s history. After Walmart, Amazon employs the largest workforce in the United States. There are currently no known plans for Amazon Germany.
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With material from Reuters