Amazon’s Hate and Counterfeit Problems Pile Up

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By Douglas A. McIntyre Updated Published
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Amazon’s Hate and Counterfeit Problems Pile Up

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Amazon.com Inc.’s (NASDAQ: AMZN) self-policing problems are piling up. Recently, it has been attacked because it has done a poor job deterring the spread of counterfeit products sold on its website. Add to those new accusations that it allows products that “promote hate and violence” to be sold via Amazon.

While both accusations are true, Amazon has a challenge similar to YouTube and Facebook, which have to comb through billions of products and communications that fall into categories of “fake news, hate, and outright misleading claims.” The difficulty of the task will not keep away the critics. Amazon has created a massive business, and it has to live with the consequences and the demands for solutions.

The Partnership for Working Families and the Action Center on Race & the Economy have fielded a large study titled “Delivering Hate: How Amazon’s Platforms Are Used to Spread White Supremacy, Anti-Semitism, and Islamophobia and How Amazon Can Stop It.” For some reason, the analysis starts out with a description of Amazon founder Jeff Bezo’s net worth, which is not key to the argument. The study’s authors go on to write:

Amazon enables the celebration of ideologies that promote hate and violence by allowing the sale of hate symbols and imagery on its site, including Confederate and anti-Black imagery, Nazi and fascist imagery, and the newly adopted imagery of the modern white nationalist movement. Additionally, a number of these products are targeted at children.

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Then the authors argue that Amazon does not have strong enough policies to combat the problem. In reality, the issue is one of resources more than rules.

Amazon also has been charged with another set of practices that needs massive resources to address. The sale of counterfeit products hurts the companies that make the real products and the people who buy counterfeits that they believe are genuine. Since Amazon is a highly trusted operation, it would never occur to most people that counterfeits would even be available. According to critics, they are not only available but plentiful. Amazon has a policy that counterfeits cannot be sold on the site. The list of rules is very long, but in part it says:

It is each seller’s and supplier’s responsibility to source, sell, and fulfill only authentic products. Prohibited products include bootlegs, fakes, or pirated copies of products or content; products that have been illegally replicated, reproduced, or manufactured; and products that infringe another party’s intellectual property rights. If you sell or supply inauthentic products, we may immediately suspend or terminate your Amazon selling account (and any related accounts) and destroy any inauthentic products in our fulfillment centers at your expense.

However, violations of these rules often go undetected by Amazon, nor are the counterfeiters punished.

“Hate” is the latest negative charge against Amazon. The statements about the issue are true, but Amazon cannot solve the problem completely. The number of “haters” is too large.

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Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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