Furthermore, the dominance of certain online retailers, which may potentially be reinforced by the algorithms of search engines, may lead to market power and stifling of competitive forces over the longer term.
While such an increase in labor costs contributes to pushing up sales prices, if many firms increase wages, households' income situation will improve and more consumers consequently will come to accept price rises. If that happens, price rises will not result in losing customers, likely leading to an increase in sales. As this shows, wage increases by firms also benefit themselves.