Amazon has been making moves worldwide to create the foundation for its push further into the tablet market, content delivery and the expansion of its core business. As part of these efforts, the online retailer has announced its plans to open a new facility for Amazon Canada’s Fulfillment Services. The new Canadian fulfillment centre will be located in Delta, British Columbia and is expected to create 100 jobs in the surrounding area. Amazon has another center located in Toronto but the latest setup will be the only one to be built on the West Coast.
Amazon is a Seattle-based online retailer and its Canadian arm, aptly named Amazon.ca offers most of the company’s services offered in the U.S. including the sale of “books, CDs, videos, sports and outdoors products, DVDs and electronics, watches, tools, baby, home and garden products, as well as a vast array of software, video games, and consoles.” The retailer does sell eBooks but one of its most important revenue sources is physical books and products. The products need to be shipped to clients and the new center in Canada will help the firm complete Canadian orders for customers and clear customs in an organized and efficient manner.
It has not been smooth sailing for Amazon and its expansion in the Canadian market. The company faced criticism when it announced in 2010 that it was opening up order fulfillment centers in Canada. Independent authors, booksellers and publishers located in Canada thought that the major push by Amazon into Canada would deteriorate local content and create further dominance of American books and literature north of the border.
The government eventually reviewed the company’s expansion under the Investment Canada Act. Amazon’s warehouses were approved under the condition that the American company invests over $20 million into the local economy. The agreement also had $1.5 million earmarked for cultural events and awards which would put the spotlight on books by Canadian authors. Amazon will also be responsible for providing jobs to Canadian citizens, increasing service quality, and promoting Canadian and French-language products on the website.
Source: Vancouver Sun
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