Macy’s and other retailers are ‘defying’ the intrusion of Amazon

Macy’s and other retailers are ‘defying’ the intrusion of Amazon


Despite concerns about what impact Amazon will have on other retailers this holiday season, CNBC’s Jim Cramer said Friday that several groups are “defying” the intrusion of the online e-commerce giant.

Cramer was particularly surprised by the news on Friday morning that department store operator Macy’s said it had a strong start to the holiday shopping season and will hire additional workers in anticipation of the demand continuing through Christmas.

“Don’t you think it’s interesting that Macy’s strong traffic leads Macy to hire 7,000 more holiday workers?” Cramer asked on “Squawk on the Street.”

Shares of Macy’s were up 1.2 percent Friday after the announcement. Despite the rise, Macy’s is down more than 32 percent this year, according to FactSet.

Analysts had said this holiday season was a crunch time for Macy’s, which has suffered share losses to online rivals, including Amazon.

“This group is defying. It’s defying what we thought,” said Cramer, host of CNBC’s “Mad Money.” “Whether it be Kroger against the Death Star. Whether it be Macy’s against the Death Star. Whether it be Walgreens against the Death Star.”

Cramer describes Amazon as the Death Star in “Star Wars.”

Earlier this week, Cramer said Kroger’s quarterly earnings proved that Amazon wasn’t going to “wreck” the supermarket chain’s margins so soon after the online retail giant’s acquisition of Whole Foods.

“There were a lot of people short Kroger,” Cramer said Thursday. “They didn’t understand that Amazon tomorrow is not going to wreck Kroger’s margins.”

—Reuters contributed to this report.

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