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00:00Where do you see yourself as most vulnerable perhaps to Amazon and how do you mitigate that. I think are our vulnerabilities are basically disciplined in what we do and the more that we carry the more we spread out our purchasing power and the less of price of a pricing authority we have on those particular products. And so for us it would be the lack of discipline that starts to creep into any that any company. Once you get larger and larger in scale so Bloomberg followed us when we were just in a garage and then Bloomberg was on site again when we were in this you know 30000 square foot fulfillment center. And now we have a network all across the country. The business has grown incredibly and it's up to me and the rest of our management team to make sure that we nail down into what we do best. That's limited SKU large format only servicing that B2B customer servicing that customer that wants to stock up and save. If you're in a single apartment a 300 square foot apartment here in New York City and you're single we're probably not the service for you and as much as it pains every entrepreneur to not be able to service someone we have to be true to ourselves because the moment we're not we open up a really big vulnerability to Amazon into everything else out there. So you have a great sense here and I've been at the industry of the uber capabilities perhaps of Amazon's capabilities as you were just alluding to there. What do you think is their weakness because at the moment they seem to bring fear into the market whether it's retailers or the potential excitement from consumers about what they can achieve. What do you think is that weakness that fundamental weakness here. I think right now it's food. And so when you think about a category that everyone's tried to break into Amazon included it's been online food because it is one of the biggest if not the biggest category a product category where every single human on the face of the Earth uses and uses every single day of their lives. And so that fulfillment center network that they built up primarily hasn't been built to serve not only food but especially fresh foods. And so you saw them you know get out of their comfort zone and buy whole foods at that price tag. It's not one that they're usually spending on acquisitions and so for them to actually spend that much on a single acquisition actually shows that they've realized that there's kind of kinks in their armor that they need to shore up .

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Boxed CEO Sees Discipline as Key to Competing With Amazon

Chieh Huang, Boxed's chief executive officer, discusses how the company competes with Amazon. He spoke with Bloomberg's Julia Chatterley and Scarlet Fu Sept. 13th on "Bloomberg Markets." (Source: Bloomberg)

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