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| Clicking Buy on Amazon? It’s Trying to Prevent a Coronavirus Caveat | Clicking Buy on Amazon? It’s Trying to Prevent a Coronavirus Caveat |
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| SEATTLE — What if the Everything Store couldn’t sell everything because of disruptions from the coronavirus? | SEATTLE — What if the Everything Store couldn’t sell everything because of disruptions from the coronavirus? |
| That’s the situation that Amazon — which typically stocks more than 100 million items, from toilet paper to yoga pants — is working to avoid as the deadly outbreak continues to shut down and slow factories in China that produce the world’s goods. | That’s the situation that Amazon — which typically stocks more than 100 million items, from toilet paper to yoga pants — is working to avoid as the deadly outbreak continues to shut down and slow factories in China that produce the world’s goods. |
| Over the past few weeks, Amazon has responded to the crisis by making larger and more frequent orders of Chinese-made products that had already been shipped to the United States, according to company emails and consultants who work with major brands. Some of its suppliers have cut back on advertising and promotions on the site so they don’t run out of products too quickly. | Over the past few weeks, Amazon has responded to the crisis by making larger and more frequent orders of Chinese-made products that had already been shipped to the United States, according to company emails and consultants who work with major brands. Some of its suppliers have cut back on advertising and promotions on the site so they don’t run out of products too quickly. |
| Amazon also sent an urgent email to brands on Wednesday about Prime Day, its midsummer mega sale, indicating that it has begun worrying about inventory for the event. And the company has contacted some of its third-party merchants, whose dog leashes, crayons and other products account for about 60 percent of its sales, to figure out how their flow of goods might be impeded. | Amazon also sent an urgent email to brands on Wednesday about Prime Day, its midsummer mega sale, indicating that it has begun worrying about inventory for the event. And the company has contacted some of its third-party merchants, whose dog leashes, crayons and other products account for about 60 percent of its sales, to figure out how their flow of goods might be impeded. |
| “Hello!” read one recent email from Amazon to a seller, which The New York Times reviewed. “We have identified that part of your supply chain process might be China dependent and in light of the coronavirus outbreak effecting manufacturing and logistics in China, we are reaching out to you to understand its impact on your business operations.” | “Hello!” read one recent email from Amazon to a seller, which The New York Times reviewed. “We have identified that part of your supply chain process might be China dependent and in light of the coronavirus outbreak effecting manufacturing and logistics in China, we are reaching out to you to understand its impact on your business operations.” |
| With its reliance on Chinese manufacturing, Amazon is turning into a case study of how a giant retailer grapples with the fallout from the coronavirus and what may lie ahead for other stores. Already dozens of companies have indicated that the virus will take a toll on them, with Apple cutting its sales expectations this week and airlines canceling flights to China. | With its reliance on Chinese manufacturing, Amazon is turning into a case study of how a giant retailer grapples with the fallout from the coronavirus and what may lie ahead for other stores. Already dozens of companies have indicated that the virus will take a toll on them, with Apple cutting its sales expectations this week and airlines canceling flights to China. |
| Retailers have so far said less about how the coronavirus will affect them. On Tuesday, Walmart said sales at its 430 stores in China had not faltered and added that the impact on its supply chain was unclear but might be more muted than at other companies. | Retailers have so far said less about how the coronavirus will affect them. On Tuesday, Walmart said sales at its 430 stores in China had not faltered and added that the impact on its supply chain was unclear but might be more muted than at other companies. |
| Last year’s trade war with China may inadvertently be helping some big retailers now. At the time, companies imported more goods than usual from China to get ahead of expected tariffs. Some moved manufacturing to Vietnam and other Asian countries. When the new tariffs never took effect, retailers were left with more supply and more sourcing from other countries already in place. | Last year’s trade war with China may inadvertently be helping some big retailers now. At the time, companies imported more goods than usual from China to get ahead of expected tariffs. Some moved manufacturing to Vietnam and other Asian countries. When the new tariffs never took effect, retailers were left with more supply and more sourcing from other countries already in place. |
| Still, if China Inc. continues to be fitful beyond the next few weeks, major stores could run out of everyday products like sponges, print cartridges and construction paper by mid-April, according to a report from Wells Fargo last week. China is the largest source of imported consumer goods. | Still, if China Inc. continues to be fitful beyond the next few weeks, major stores could run out of everyday products like sponges, print cartridges and construction paper by mid-April, according to a report from Wells Fargo last week. China is the largest source of imported consumer goods. |
| “We believe the time to start worrying about the supply chain risk” of the virus “is here,” the report said. | “We believe the time to start worrying about the supply chain risk” of the virus “is here,” the report said. |
| Amazon is likely to feel potential shortages of goods earlier than its American peers because it usually keeps fewer items on hand than they do. In good times, that lets the internet company run more efficiently because it does not tie up money to buy and store products that are waiting to be sold. | Amazon is likely to feel potential shortages of goods earlier than its American peers because it usually keeps fewer items on hand than they do. In good times, that lets the internet company run more efficiently because it does not tie up money to buy and store products that are waiting to be sold. |
| But that approach, called “lean inventory,” exposes Amazon more to shocks. | But that approach, called “lean inventory,” exposes Amazon more to shocks. |
| “This is a cost to pay for the efficiency that a just-in-time supply chain gets you,” said Guru Hariharan, a former Amazon employee and the founder of CommerceIQ, a start-up whose automation tools are used by major brands including Kimberly-Clark and Logitech. | “This is a cost to pay for the efficiency that a just-in-time supply chain gets you,” said Guru Hariharan, a former Amazon employee and the founder of CommerceIQ, a start-up whose automation tools are used by major brands including Kimberly-Clark and Logitech. |
| Some supply problems may be hidden. Even products made in America can rely on Chinese suppliers, which may cause problems down the line. Ketchup made in a plant in Sacramento, for example, may depend on tomato paste or bottles and caps from China. | Some supply problems may be hidden. Even products made in America can rely on Chinese suppliers, which may cause problems down the line. Ketchup made in a plant in Sacramento, for example, may depend on tomato paste or bottles and caps from China. |
| Amazon faces an additional wrinkle in keeping its virtual shelves stocked: While traditional retailers generally control their inventory directly, most of the products on Amazon are bought and sold by third-party merchants. Amazon simply facilitates those sales, giving it less visibility into supply. | Amazon faces an additional wrinkle in keeping its virtual shelves stocked: While traditional retailers generally control their inventory directly, most of the products on Amazon are bought and sold by third-party merchants. Amazon simply facilitates those sales, giving it less visibility into supply. |
| “Out of an abundance of caution, we are working with suppliers to secure additional inventory to ensure we maintain our selection for customers,” an Amazon spokeswoman said. The company later added, “We are monitoring developments related to the coronavirus and taking appropriate steps as needed.” | “Out of an abundance of caution, we are working with suppliers to secure additional inventory to ensure we maintain our selection for customers,” an Amazon spokeswoman said. The company later added, “We are monitoring developments related to the coronavirus and taking appropriate steps as needed.” |
| Amazon’s algorithms have now asked for six to eight weeks of supply on products made in China instead of just two or three weeks, said Mr. Hariharan, who discussed the changes with large brands that supply the retailer. | Amazon’s algorithms have now asked for six to eight weeks of supply on products made in China instead of just two or three weeks, said Mr. Hariharan, who discussed the changes with large brands that supply the retailer. |
| Amazon has also made larger and more frequent buys, deviating from its regular cadence of automated purchases, according to company emails and consultants. | Amazon has also made larger and more frequent buys, deviating from its regular cadence of automated purchases, according to company emails and consultants. |
| “Amazon issued off-cycle orders to you last night in order to prepare for possible supply chain disruptions due to recent global events originating in China,” one recent email to a vendor read. Similar emails were earlier reported by Business Insider. | “Amazon issued off-cycle orders to you last night in order to prepare for possible supply chain disruptions due to recent global events originating in China,” one recent email to a vendor read. Similar emails were earlier reported by Business Insider. |
| Fahim Naim, who managed inventory at Amazon and now advises brands selling there, said it had placed extra orders from his clients who have more than $10 million in annual sales on the site and had marked “China” as the source of their products. Amazon’s emails to his clients show that it is giving brands extra time to get their products to its warehouses without a penalty. | Fahim Naim, who managed inventory at Amazon and now advises brands selling there, said it had placed extra orders from his clients who have more than $10 million in annual sales on the site and had marked “China” as the source of their products. Amazon’s emails to his clients show that it is giving brands extra time to get their products to its warehouses without a penalty. |
| On Feb. 7, the main Amazon website that sellers use to run their business posted a message that included tips for making sure Amazon’s algorithms didn’t ding their accounts if they couldn’t fulfill orders. | On Feb. 7, the main Amazon website that sellers use to run their business posted a message that included tips for making sure Amazon’s algorithms didn’t ding their accounts if they couldn’t fulfill orders. |
| Jerry Kavesh, who offers Western wear like $85 cowboy boots on Amazon, is emblematic of the supply issues that its sellers face. | Jerry Kavesh, who offers Western wear like $85 cowboy boots on Amazon, is emblematic of the supply issues that its sellers face. |
| Mr. Kavesh, 57, who is based in a Seattle suburb, said that the factory in China that produced his cowboy hats was closed and that he did not know when it would reopen. Even after the factory’s workers return, the facility needs wool from its Chinese suppliers to make the hats. | Mr. Kavesh, 57, who is based in a Seattle suburb, said that the factory in China that produced his cowboy hats was closed and that he did not know when it would reopen. Even after the factory’s workers return, the facility needs wool from its Chinese suppliers to make the hats. |
| “The key component — they don’t know when they are going to get that,” he said. | “The key component — they don’t know when they are going to get that,” he said. |
| It takes about four months for his orders to be made and to arrive in the United States, Mr. Kavesh added. That means he typically would have products already in process for Prime Day, Amazon’s two-day shopping deal extravaganza, which usually falls in early July. | It takes about four months for his orders to be made and to arrive in the United States, Mr. Kavesh added. That means he typically would have products already in process for Prime Day, Amazon’s two-day shopping deal extravaganza, which usually falls in early July. |
| Updated June 16, 2020 | |
| The coronavirus emergency relief package gives many American workers paid leave if they need to take time off because of the virus. It gives qualified workers two weeks of paid sick leave if they are ill, quarantined or seeking diagnosis or preventive care for coronavirus, or if they are caring for sick family members. It gives 12 weeks of paid leave to people caring for children whose schools are closed or whose child care provider is unavailable because of the coronavirus. It is the first time the United States has had widespread federally mandated paid leave, and includes people who don’t typically get such benefits, like part-time and gig economy workers. But the measure excludes at least half of private-sector workers, including those at the country’s largest employers, and gives small employers significant leeway to deny leave. | |
| So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. | So far, the evidence seems to show it does. A widely cited paper published in April suggests that people are most infectious about two days before the onset of coronavirus symptoms and estimated that 44 percent of new infections were a result of transmission from people who were not yet showing symptoms. Recently, a top expert at the World Health Organization stated that transmission of the coronavirus by people who did not have symptoms was “very rare,” but she later walked back that statement. |
| Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. | Touching contaminated objects and then infecting ourselves with the germs is not typically how the virus spreads. But it can happen. A number of studies of flu, rhinovirus, coronavirus and other microbes have shown that respiratory illnesses, including the new coronavirus, can spread by touching contaminated surfaces, particularly in places like day care centers, offices and hospitals. But a long chain of events has to happen for the disease to spread that way. The best way to protect yourself from coronavirus — whether it’s surface transmission or close human contact — is still social distancing, washing your hands, not touching your face and wearing masks. |
| A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. | A study by European scientists is the first to document a strong statistical link between genetic variations and Covid-19, the illness caused by the coronavirus. Having Type A blood was linked to a 50 percent increase in the likelihood that a patient would need to get oxygen or to go on a ventilator, according to the new study. |
| The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. | The unemployment rate fell to 13.3 percent in May, the Labor Department said on June 5, an unexpected improvement in the nation’s job market as hiring rebounded faster than economists expected. Economists had forecast the unemployment rate to increase to as much as 20 percent, after it hit 14.7 percent in April, which was the highest since the government began keeping official statistics after World War II. But the unemployment rate dipped instead, with employers adding 2.5 million jobs, after more than 20 million jobs were lost in April. |
| Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission. | Mass protests against police brutality that have brought thousands of people onto the streets in cities across America are raising the specter of new coronavirus outbreaks, prompting political leaders, physicians and public health experts to warn that the crowds could cause a surge in cases. While many political leaders affirmed the right of protesters to express themselves, they urged the demonstrators to wear face masks and maintain social distancing, both to protect themselves and to prevent further community spread of the virus. Some infectious disease experts were reassured by the fact that the protests were held outdoors, saying the open air settings could mitigate the risk of transmission. |
| States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people. | States are reopening bit by bit. This means that more public spaces are available for use and more and more businesses are being allowed to open again. The federal government is largely leaving the decision up to states, and some state leaders are leaving the decision up to local authorities. Even if you aren’t being told to stay at home, it’s still a good idea to limit trips outside and your interaction with other people. |
| Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. | Common symptoms include fever, a dry cough, fatigue and difficulty breathing or shortness of breath. Some of these symptoms overlap with those of the flu, making detection difficult, but runny noses and stuffy sinuses are less common. The C.D.C. has also added chills, muscle pain, sore throat, headache and a new loss of the sense of taste or smell as symptoms to look out for. Most people fall ill five to seven days after exposure, but symptoms may appear in as few as two days or as many as 14 days. |
| If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) | If air travel is unavoidable, there are some steps you can take to protect yourself. Most important: Wash your hands often, and stop touching your face. If possible, choose a window seat. A study from Emory University found that during flu season, the safest place to sit on a plane is by a window, as people sitting in window seats had less contact with potentially sick people. Disinfect hard surfaces. When you get to your seat and your hands are clean, use disinfecting wipes to clean the hard surfaces at your seat like the head and arm rest, the seatbelt buckle, the remote, screen, seat back pocket and the tray table. If the seat is hard and nonporous or leather or pleather, you can wipe that down, too. (Using wipes on upholstered seats could lead to a wet seat and spreading of germs rather than killing them.) |
| Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications. | Taking one’s temperature to look for signs of fever is not as easy as it sounds, as “normal” temperature numbers can vary, but generally, keep an eye out for a temperature of 100.5 degrees Fahrenheit or higher. If you don’t have a thermometer (they can be pricey these days), there are other ways to figure out if you have a fever, or are at risk of Covid-19 complications. |
| The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing. | The C.D.C. has recommended that all Americans wear cloth masks if they go out in public. This is a shift in federal guidance reflecting new concerns that the coronavirus is being spread by infected people who have no symptoms. Until now, the C.D.C., like the W.H.O., has advised that ordinary people don’t need to wear masks unless they are sick and coughing. Part of the reason was to preserve medical-grade masks for health care workers who desperately need them at a time when they are in continuously short supply. Masks don’t replace hand washing and social distancing. |
| If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. | If you’ve been exposed to the coronavirus or think you have, and have a fever or symptoms like a cough or difficulty breathing, call a doctor. They should give you advice on whether you should be tested, how to get tested, and how to seek medical treatment without potentially infecting or exposing others. |
| If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested. | If you’re sick and you think you’ve been exposed to the new coronavirus, the C.D.C. recommends that you call your healthcare provider and explain your symptoms and fears. They will decide if you need to be tested. Keep in mind that there’s a chance — because of a lack of testing kits or because you’re asymptomatic, for instance — you won’t be able to get tested. |
| Amazon appears to share the concern. On Wednesday, it sent an email to a beauty supplies brand asking whether it expected to have enough of its top five products this summer. | Amazon appears to share the concern. On Wednesday, it sent an email to a beauty supplies brand asking whether it expected to have enough of its top five products this summer. |
| “Amazon is trying to establish an inventory risk for your business moving forward and specifically for Prime Day,” said the email, which The Times reviewed. “We appreciate your feedback by TODAY.” | “Amazon is trying to establish an inventory risk for your business moving forward and specifically for Prime Day,” said the email, which The Times reviewed. “We appreciate your feedback by TODAY.” |
| Mr. Naim said some brands he worked with had pulled back on their ads on Amazon by 25 percent to 50 percent, and had stopped promotions they had planned, to preserve money and inventory. Other sellers said they were contemplating whether to raise prices to prevent — or at least delay — running out of stock. | Mr. Naim said some brands he worked with had pulled back on their ads on Amazon by 25 percent to 50 percent, and had stopped promotions they had planned, to preserve money and inventory. Other sellers said they were contemplating whether to raise prices to prevent — or at least delay — running out of stock. |
| Eddie Levine, who has been selling on Amazon since 2012, shipped more than 130 containers of toys, housewares and other goods from China last year, largely to offer on the site. He has cautioned the brands he works with against raising prices, saying that if a $20 product suddenly costs $40, “the last thing you want is a bad review saying it’s not worth $40.” | Eddie Levine, who has been selling on Amazon since 2012, shipped more than 130 containers of toys, housewares and other goods from China last year, largely to offer on the site. He has cautioned the brands he works with against raising prices, saying that if a $20 product suddenly costs $40, “the last thing you want is a bad review saying it’s not worth $40.” |
| But if the virus disruptions persist into late spring or early summer, “people will have to raise prices without even having the option because there is just no stock,” Mr. Levine said. “That’s pure supply and demand.” | But if the virus disruptions persist into late spring or early summer, “people will have to raise prices without even having the option because there is just no stock,” Mr. Levine said. “That’s pure supply and demand.” |
| Karen Weise reported from Seattle, and Michael Corkery from New York. | Karen Weise reported from Seattle, and Michael Corkery from New York. |