Amazon leveraged its advantage as a first-mover in several ways. First, they ensured long-term dominance by purchasing additional warehouses and storage capacities, expecting large expansions in volumes of sales. This was predicted by Jeff Bezos based on the quadruple rates of internet user base growth as well as his company’s rapid revenue increases. He understood that preparations for expansion had to be done prematurely in order not to waste time and lose his tempo during the growth period.
In addition, Amazon made sure to buy off all and any of its early competitors, such as Pets.com, Living.com, Kozmo.com, and others. That way, they ensured their dominance and virtual monopoly into the early 2000s. As stated by Jeff Bezos, gaining and retaining advantage as first-movers involved making a million tiny steps, and learning from every mistake done along the way.