SALT LAKE CITY — In spite of missing a spot on Amazon.com's short list for a new secondary headquarters, Utah is at the top of the company's list for states with the most per-capita small- and medium-sized businesses selling goods via its online store.
In a report released earlier this week, Amazon said half of all goods sold on its website sourced from small- and medium-sized businesses and more than 20,000 of them each sold in excess of $1 million in goods last year.
One of those companies is Salt Lake City-based Mama Moon Boutique. In a statement, company owner Christine Krogue said Amazon customers make up almost the entirety of her business in children's clothes, toys and laundry products.
“Selling on Amazon has made my Utah-based home business possible,” Krogue said. “Amazon customers make up 99 percent of my business and have allowed me to grow my business to a multimillion-dollar company, hire additional stay-at-home moms in my neighborhood and make a difference in the lives of my partners in Nepal.”
Utah is quietly exceeding the output of other states that have built strong reputations for spawning new businesses and Amazon Vice President Nicholas Denissen praised the high performance of Beehive State entrepreneurs in a company release.
“It is exciting to see Utah at the top of our list ahead other great entrepreneurial states like California and New York,” Denissen said. “From incredible handmade artisans to small businesses inventing sustainable and eco-friendly products, there are thousands of Utah-based businesses demonstrating a tremendous entrepreneurial spirit — more per capita than in any other state. More than 300,000 small- and medium-sized businesses from across the U.S. that started selling on Amazon in 2017, and we’re working hard to help them all keep growing.”
Utah has gained numerous recognitions for its business-friendly environment and publications like Forbes have highlighted a light regulatory environment, low energy costs, a highly educated labor force and an attractive quality of life as factors that help drive the state's economic growth. Governor's Office of Economic Development Executive Director Val Hale said close collaboration between government agencies and private interests also helps keep the machine humming.
“Utah exemplifies how public and private sectors work together to maintain a business-friendly environment that fosters innovation and entrepreneurship," Hale said. "Entrepreneurs are the foundation of our economy. As we grow and support businesses, in our rural and urban communities, we strive to provide the effective resources and limited regulations they need to thrive.”
Amazon.com continues to prosper and last year earned over $175 billion in net revenues. In just the past year, the company's stock has risen from about $934 a share to $1,572 at the close of trading on Thursday. The company's current valuation is over $765 billion.