Amazon recently announced that it will build a new, $85 million distribution center in Kannapolis, North Carolina, the Charlotte Business Journal reported.
The new 1 million-square-foot facility will employ 600 people and will be supported by incentives by the Kansas City Council, which approved a $562,275 grant for the project.
"The city is pleased to provide incentives that will result in over 600 jobs for people in Kannapolis and throughout the region," said Kannapolis Mayor Darrell Hinnant.
The e-commerce giant has made headlines lately for its effect on sales at traditional retailers, according to Business Insider. This year so far, retailers have shuttered more than 6,300 stores. Market analysts anticipate that Finish Line and Foot Locker will be the next two companies to face store closures due to competition from Amazon.
UBS revealed that Foot Locker shares fell by nearly 30 percent in the second quarter, the source noted. A recent survey by the financial services firm revealed that for the first time, more consumers choose to buy Nike sneakers on Amazon instead of at Foot Locker. However, the retailer's leadership expressed less concern about Amazon's encroaching on sales in Foot Locker's last quarterly conference call.
"For our part, we will continue to invest in creating compelling experiences for our customers, Chairman and CEO Richard Johnson said. "For that reason, we do not believe our vendors selling product directly on Amazon is an imminent threat."