The following video is part of our "Motley Fool Conversations" series, in which analyst John Reeves and advisor David Meier discuss topics across the investing world.
Amazon.com (Nasdaq: AMZN) intends to build lots more distribution centres closer to major markets. This could be the beginning of the end for many traditional retailers. A recent Slate article talks about Amazon.com moving closer to same-day delivery. Just imagine ordering something from Amazon.com in the morning and having it at your door when you get home from work. The Kindle has already changed the way we read and has put huge pressure on margins of physical retailers.
Retail is in its largest period of transition ever. The companies left behind will bankrupt investors, while the few exceptional leaders benefiting from this change will see astounding growth in the years ahead. Perhaps Australian companies Harvey Norman (ASX: HVN), JB Hi-Fi (ASX: JBH), Woolworths' (ASX: WOW) Big W and Wesfarmers' (ASX: WES) Kmart should be worried!
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A version of this article, written by John Reeves & David Meier, originally appeared on fool.com