Arab Press

بالشعب و للشعب
Wednesday, Nov 12, 2025

Mnuchin is wrong: Amazon has done more good than bad for small business

Mnuchin is wrong: Amazon has done more good than bad for small business

The treasury secretary said Amazon ‘destroyed the retail industry’ – but Amazon has created businesses, side hustles, development and content design opportunities for more than 1.9m small businesses and entrepreneurs around the world who, in turn, have created more than 1.6m jobs in the process. The company has created a special site just for people to buy from small businesses and another one to help aspiring entrepreneurs become partners and merchants. More than half the items sold on their site is sold by a small- or medium-sized company, and countless other consultants, technology companies, logistics firms, warehousing landlords and other small businesses have created their livelihoods on Amazon’s back.

Take a walk today down New York City’s Seventh Avenue – or any Main Street in small-town America – and you’ll see that things look a lot different than they did 40 or even 20 years ago.

Back then there were lots of retail stores selling shoes, clothes, sporting equipment and books. Today … not so much. The malls are empty, name-brand chains have shut down and storefronts are more or less occupied by “experience” businesses – restaurants, coffee shops, bars, exercise places or nail salons. Where did retail go? Has it been destroyed? And did Amazon cause all of this?

Yes, Amazon caused a lot of it. In fact, the e-commerce giant changed retail forever. But it’s not all bad news – particularly for small businesses.

Steve Mnuchin doesn’t feel this way. In an interview with CNBC this week, the treasury secretary (and former Sears board member) said that Amazon has “destroyed the retail industry across the United States”. He also said that “no question they’ve limited competition. People had those concerns about Walmart, but Walmart developed a business where small business could continue to compete with them.”

Mnuchin knows a lot more about a lot of things than me. I would never debate him on tax policy, the federal debt ceiling or anything to do with the US government’s finances. But, with all due respect, small business is my turf, not his. And when it comes to small business I do feel comfortable saying this: Amazon is not hurting small businesses. It is actually quite the opposite.

I’m not an employee at Amazon, and although my firm has done some marketing work for the company over the past few years I am not an Amazon merchant or partner. I just know a lot about small businesses because I run one and I write about them. And when it comes to small businesses, Amazon has done way more good than bad.

The company has created businesses, side hustles, development and content design opportunities for more than 1.9m small businesses and entrepreneurs around the world who, in turn, have created more than 1.6m jobs in the process. The company has created a special site just for people to buy from small businesses and another one to help aspiring entrepreneurs become partners and merchants. More than half the items sold on their site is sold by a small- or medium-sized company, and countless other consultants, technology companies, logistics firms, warehousing landlords and other small businesses have created their livelihoods on Amazon’s back.

You’re not seeing these people on Main Street anymore, but trust me, they’re still out there … and in droves. They’re selling to customers they could never dreamed of, reaching and sourcing products from suppliers in faraway places, and doing this all from the comfort of their homes or from spaces that cost a helluva lot less than rent on Seventh Avenue.

“Amazon is the first partner that offers small businesses a legitimate way to compete with the big retailers – which is why they are scared, and why they are sounding the alarm that it’s ‘killing retail’,” Jerry Kozak, the owner of Ann Arbor T-shirt Company and an Amazon merchant, told me. “Amazon is changing retail by offering more products from more merchants, at greater convenience – and people are voting with their wallets.”

Kozak, who employs 75 people at his $20m a year business, isn’t alone in his support of the online platform. Many other business owners I know agree with him.

And by the way, Amazon isn’t the only game in town. E-commerce applications that allow small businesses to sell from their own websites such as Shopify, BigCommerce and Magento have exploded in popularity over the past few years. Etsy, eBay and other online marketplaces have attracted countless small businesses to sell and Chinese giant Alibaba just announced this week new tools particularly for small businesses that make up part of its strategy to grow in the American market. Small businesses have plenty of choices to sell their wares other than Amazon.

And sell they do. On Amazon’s Prime Day alone, small- and medium-sized companies sold more than $2bn of products, a 33% increase over last year. The other platforms have also helped small businesses generate billions in revenues.

“What Amazon has actually done is democratize retail and leveled the playing field so that independent brands and small businesses can enter the market and thrive,” Kristin Rae, an Amazon merchant who owns Inspire Travel Luggage, said. “Truly, I wouldn’t be able to be a business without Amazon.”

Yes, retail has undergone an enormous change, and Amazon has been a big part of that. But the smart entrepreneurs I know – like Kozak and Rae – understand something that some slow-reacting retailers, disconnected politicians and yes, even a treasury secretary hasn’t: it’s 2019 and not 1979. They’re profiting, and good for them.

Newsletter

Related Articles

Arab Press
0:00
0:00
Close
Cristiano Ronaldo Embraces Saudi Arabia’s 2034 World Cup Vision with Key Role
Saudi Arabia’s Execution Campaign Escalates as Crown Prince Readies U.S. Visit
Trump Unveils Middle East Reset: Syria Re-engaged, Saudi Ties Amplified
Saudi Arabia to Build Future Cities Designed with Tourists in Mind, Says Tourism Minister
Saudi Arabia Advances Regulated Stablecoin Plans with Global Crypto Exchange Support
Saudi Arabia Maintains Palestinian State Condition Ahead of Possible Israel Ties
Chinese Steel Exports Surge 41% to Saudi Arabia as Mills Pivot Amid Global Trade Curbs
Saudi Arabia’s Biban Forum 2025 Secures Over US$10 Billion in Deals Amid Global SME Drive
Saudi Arabia Sets Pre-Conditions for Israel Normalisation Ahead of Trump Visit
MrBeast’s ‘Beast Land’ Arrives in Riyadh as Part of Riyadh Season 2025
Cristiano Ronaldo Asserts Saudi Pro League Outperforms Ligue 1 Amid Scoring Feats
AI Researchers Claim Human-Level General Intelligence Is Already Here
Saudi Arabia Pauses Major Stretch of ‘The Line’ Megacity Amid Budget Re-Prioritisation
Saudi Arabia Launches Instant e-Visa Platform for Over 60 Countries
Dick Cheney, Former U.S. Vice President, Dies at 84
Saudi Crown Prince to Visit Trump at White House on November Eighteenth
Trump Predicts Saudi Arabia Will Normalise with Israel Ahead of 18 November Riyadh Visit
Entrepreneurial Momentum in Saudi Arabia Shines at Riyadh Forward 2025 Summit
Saudi Arabia to Host First-Ever International WrestleMania in 2027
Saudi Arabia to Host New ATP Masters Tournament from 2028
Trump Doubts Saudi Demand for Palestinian State Before Israel Normalisation
Viral ‘Sky Stadium’ for Saudi Arabia’s 2034 World Cup Debunked as AI-Generated
Deal Between Saudi Arabia and Israel ‘Virtually Impossible’ This Year, Kingdom Insider Says
Saudi Crown Prince to Visit Washington While Israel Recognition Remains Off-Table
Saudi Arabia Leverages Ultra-Low Power Costs to Drive AI Infrastructure Ambitions
Saudi Arabia Poised to Channel Billions into Syria’s Reconstruction as U.S. Sanctions Linger
Smotrich’s ‘Camels’ Remark Tests Saudi–Israel Normalisation Efforts
Saudi Arabia and Qatar Gain Structural Edge in Asian World Cup Qualification
Israeli Energy Minister Delays $35 Billion Gas Export Agreement with Egypt
Fincantieri and Saudi Arabia Agree to Build Advanced Maritime Ecosystem in Kingdom
Saudi Arabia’s HUMAIN Accelerates AI Ambitions Through Major Partnerships and Infrastructure Push
IOC and Saudi Arabia End Ambitious 12-Year Esports Games Partnership
CSL Seqirus Signs Saudi Arabia Pact to Provide Cell-Based Flu Vaccines and Build Local Production
Qualcomm and Saudi Arabia’s HUMAIN Team Up to Deploy 200 MW AI Infrastructure
Saudi Arabia’s Economy Expands Five Percent in Third Quarter Amid Oil Output Surge
China’s Vice President Han Zheng Meets Saudi Crown Prince as Trade Concerns Loom
US and Qatar Warn EU of Trade and Energy Risks from Tough Climate Regulation
AI and Cybersecurity at Forefront as GITEX Global 2025 Kicks Off in Dubai
EU Deploys New Biometric Entry/Exit System: What Non-EU Travelers Must Know
Ex-Microsoft Engineer Confirms Famous Windows XP Key Was Leaked Corporate License, Not a Hack
Israel and Hamas Agree to First Phase of Trump-Brokered Gaza Truce, Hostages to Be Freed
Syria Holds First Elections Since Fall of Assad
Altman Says GPT-5 Already Outpaces Him, Warns AI Could Automate 40% of Work
Trump Organization Teams with Saudi Developer on $1 Billion Trump Plaza in Jeddah
Archaeologists Recover Statues and Temples from 2,000-Year-Old Sunken City off Alexandria
Colombian President Petro Vows to Mobilize Volunteers for Gaza and Joins List of Fighters
Nvidia and Abu Dhabi’s TII Launch First AI-&-Robotics Lab in the Middle East
UK, Canada, and Australia Officially Recognise Palestine in Historic Shift
Dubai Property Boom Shows Strain as Flippers Get Buyer’s Remorse
JWST Data Brings TRAPPIST-1e Closer to Earth-Like Habitability
×