Unless they turn around soon, I don't see how their goose isn't cooked in the long run. The site has become too filled with garbage products, hijacked listings and fake reviews. Once the people who think they've never received a counterfeit realize there's no way they can really know and start to question why the products they get from Amazon break earlier than usual or have questionable packaging, it will be hard to undo the loss of trust.
As long as they pay top dollar for engineers, I think some folks will happily (or unhappily) work there. AWS is a behemoth and it has its tentacles in almost every piece of internet based software we use today, it’s not going anywhere unfortunately.