Amazon has opened its first store in Seattle

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Amazon has opened its first store in Seattle: It’s called Amazon Go and the unique aspect is that once you place items in your cart or bag, you don’t need to stop at the register. No, it’s not some sort of charitable supermarket, but rather a new type of store run by artificial intelligence, which recognizes individuals and deducts the amount owed for their purchases directly from their account credit. The AI (artificial intelligence) that controls the Amazon Go environment follows each customer, noting each item taken and any that may be put back, so no errors are made and there are no charges for products not brought home. With an always-updated list, the assistant keeps track of the customer until they exit the store, deducting the total amount from their account.
This new model is generating a controversial discussion about the current and future models of Retail Management and Merchandising. To explore it in detail, discuss the following questions from a critical point of view using the theoretical support to develop the answers

QUESTION 1-The AI and a modern electronic point of sale system have been installed in Amazon Go stores. What are the key benefits to Amazon as a retailer of installing AI and modern electronic point-of-sale systems and linking them up to stock control, management, re-ordering and promotion activity? (30 points)
QUESTION 2 Imagin that Amazon Go includes opening a discount shoes section store because it can buy a shipment of men’s shoes at $10 each. You know that Amazon Go price policy wants a 30 percent markup at retail. What retail price should the new discount store charge achieve this markup? (20 points)

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