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Smart succession plan and Bezos on the board should ensure Amazon continues to thrive

Posted by Warwick Business School at 03 February 2021, 12:24 CET |
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Christian Stadler, Professor of Strategic Management at Warwick Business School, said:

"Jeff Bezos stepping down as CEO of Amazon is a landmark moment, but the change probably won't be as dramatic as it seems. After all, Amazon has a pretty active board and he continue to play a key role in those meetings as chair of the company.

"That said, it is always a key moment when a founder steps back and choosing the right successor is crucial.

"When Steve Ballmer replaced Bill Gates at Microsoft the company's growth stagnated and there is a risk that the new CEO will focus more on costs than on innovation.

"Google shows that if you can get the balance right, you can continue to enjoy great success after founders such as Larry Page and Sergey Brin step aside.

"Amazon is a highly professional firm and Andy Jassy has been with there since the early days, so he understands what makes the company so successful. He is being promoted from the cloud computing business, which suggests he has been chosen because he will continue to drive the business forwards and explore new opportunities.

"I would expect Amazon to continue to grow, rather than running into problems as a result of this."

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