It is, but it's still in Vegas and it looks like the original CEO has pretty good control over the company. My friend had interview there back in college and they seems kinda over-obsessed with "culture fit". I mean when most companies talking about culture fit that basically equals to "we wanna hire nice people", but Zappos seems has really restricting rules on that part.

I don't think that would (necessarily) change it's business strategy or it's margins.