Decentralisation, yes, but not all the way to store fronts. Shops represents a massive about of dispersal of inventory to areas which are not where the customer wants to be, and where rental costs are vastly higher. It makes sense for products customers want to see before buying, or _likes_ to browse for and/or wants right away
The last part being important - before HMV in the UK went into administration, the last few years whenever we went browsing there we almost never bought anything because smartphones meant we were made acutely aware that Amazon was usually cheaper, and we could have it next day anyway; so the only purchases we made was when we decided we wanted to watch something the same evening (and these days even if you want to own the physical DVD it's better to stream: Sky offers a service where you can buy a DVD, get it mailed to you, but at the same time can start streaming the movie immediately; more and more business models are incompatible with high street storefronts).
And Amazon is decentralising: In the UK for example, they've started rolling out their own delivery depots so that increasingly only "last mile" (or more like 5-10 mile) delivery is done by external delivery companies. Expect the depots to start holding some level of inventory of the products they ship the highest volumes of, and for delivery times to keep shrinking (in the UK they're now rolling out same day pickup from a number of locations)
The last part being important - before HMV in the UK went into administration, the last few years whenever we went browsing there we almost never bought anything because smartphones meant we were made acutely aware that Amazon was usually cheaper, and we could have it next day anyway; so the only purchases we made was when we decided we wanted to watch something the same evening (and these days even if you want to own the physical DVD it's better to stream: Sky offers a service where you can buy a DVD, get it mailed to you, but at the same time can start streaming the movie immediately; more and more business models are incompatible with high street storefronts).
And Amazon is decentralising: In the UK for example, they've started rolling out their own delivery depots so that increasingly only "last mile" (or more like 5-10 mile) delivery is done by external delivery companies. Expect the depots to start holding some level of inventory of the products they ship the highest volumes of, and for delivery times to keep shrinking (in the UK they're now rolling out same day pickup from a number of locations)