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Katja Seim: What we look at in the paper is how Amazon’s distribution has changed over time. In online retail markets, just like in offline retail markets, the company typically uses one or multiple distribution centers, which in Amazon’s case would be called fulfillment centers. They come in multiple types. Some might be specialized and carry high-value items. Some might carry groceries. We are interested primarily in general merchandise fulfillment centers, which Amazon has placed all over the country. We’re interested in how this diffusion of distribution might have helped Amazon in trying to reach more customers and whether it has helped on the cost side.
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