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JUNGLE SURVIVAL; THE FUN-YET-FOCUSED CULTURE AT ONLINE RETAILER ZAPPOS HAD DONE MUCH TO CREATE STRONG LOYALTY AMONG EMPLOYEES AND CUSTOMERS ALIKE. BUT HOW THAT PLAYFUL ATTITUDE WILL MESH WITH THE CULTURE OF ACQUIRER AMAZON REMAINS AN OPEN QUESTION.

Article Excerpt
Byline: Ed Frauenheim

Executives at online retailer Zappos go to work in a jungle.

That is, green foliage hangs from the ceiling above their cubicles. The cluster of desks, nestled among other employees' cubes at the firm's headquarters outside of Las Vegas, is called "Monkey Row''a reference to the CEO Tony Hsieh and his top lieutenants, who are known as the company's "monkeys.''

The pretend Amazon captures Zappos' playful, egalitarian culture perfectly. It's not clear, though, how well shoe specialist Zappos will fit within another Amazonthe Internet giant that is acquiring Zappos in a deal worth upwards of $800 million.

In announcing the takeover in late July, Amazon framed it as the perfect match of like-minded companies. Both firms, Amazon said, are innovative long-term thinkers that are passionate about serving customers. Seattle-based Amazon also said Zappos' management team will remain intact and that Zappos will remain an independent entity with its headquarters in Henderson, Nevada.

Zappos' culture and brand "are huge assets that I value very much and I want to see those things continue,'' Amazon CEO Jeff Bezos said in a video message.

Hsieh echoed the point. "We will continue to build the Zappos brand and culture in our own unique way, and we believe Amazon is the best partner to help us do this over the long term,'' he said in a statement.

But questions remain about whether the combination will sap the energy of Zappos, which has cultivated fanatic customers and turned heads with its fun-yet-focused workplace climate. How much can Zappos' extreme transparencyseen in legions of employee Twitterers and its great frankness about financial resultscontinue within the confines of a publicly traded company? Will Zappos' perks such as a big employee discount, free food and generous benefits survive the harsh scrutiny of quarterly earnings reports? And what about Zappos' obsession with high-touch customer service? Can it mesh with an Amazon...

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