Why does Amazon have no Western rivals?

Amazon's dominance of Western e-commerce, with a 40.5% share of US online retail sales [1], is sustained by its interconnected ecosystem and strategic advantages that have left few serious rivals, according to experts and market data. The company, founded by Jeff Bezos in 1995 [1], has leveraged its early start and willingness to reinvest profits to capture significant market share [1]. Its nearest competitor, Walmart, holds just 9.2% of the US online market, with eBay at around 3% [1]. A key to Amazon's position is its transformation into a multi-faceted technology giant, described as part of the 'Big Tech' group of dominant U.S. firms [3]. This ecosystem includes its highly profitable Amazon Web Services (AWS) cloud division, which funds lower-margin retail operations and new ventures [1][6]. Annabelle Gawer, director of the Centre of Digital Economy at the University of Surrey, states, "Amazon is not just a website that sells products; it's an ecosystem of multiple businesses that are reinforcing each other… which makes it very hard to compete with" [1]. The company's Prime subscription service creates a powerful network effect, bundling fast shipping with streaming and other benefits, making the platform "very sticky" for consumers [1]. Emily West, a professor at the University of Massachusetts Amherst, notes, "You have the free shipping, in which case you may as well just search for your stuff on Amazon" [1]. This dominance has drawn regulatory scrutiny, with Amazon facing criticism for anti-competitive business practices [2]. Both the U.S. Federal Trade Commission and the state of California have filed separate antitrust lawsuits, with trials set for early 2027 [1]. Amazon denies the allegations. Meanwhile, potential competitors face significant hurdles. In a recent development highlighting the challenging landscape, video game retailer GameStop—which has struggled with a consumer shift to online marketplaces [5]—made a leveraged $56 billion offer to acquire eBay in an attempt to build a stronger rival [7]. eBay rejected the offer [1].