Amazon is ending retail operations in at least 10 countries in 2018.
The retailer said Thursday it will be closing more than 2,000 locations, as part of a restructuring plan that it says will result in a $1.6 billion net loss.
Amazon will begin selling fewer items in 2018 and begin to shut down retail operations for a second year in a row, the company said in a statement.
Amazon’s decision to close stores comes as it is being pressured by new threats, including the growing threat of a possible economic recession and a sharp rise in the cost of living.
The company has seen its retail sales drop more than 10 percent this year and a recent survey by research firm Zacks found that 75 percent of shoppers are either dissatisfied with the quality of their shopping experience or are dissatisfied with Amazon’s overall customer experience.
In May, Amazon announced that it would stop selling items at all of its brick-and-mortar stores in the United States.
Some shoppers are also worried about Amazon’s ability to continue providing them with high-quality and reliable products, such as its Echo and Alexa devices.
Amazon’s announcement of the plan also comes amid other changes to the retail industry, which are raising questions about how Amazon can compete with established players such as Walmart and Target.
Walmart Stores Inc. and Target Corp. have said they will not close stores or reduce prices in 2018, a move that would be the largest-ever reduction in their business.
A number of retailers, including Target, Walmart and Staples Inc., have also announced store closances in recent months.