But even if Amazon does buy its way into every
country from Italy to Norway, it will wind up with a
business model more fragmented, less efficient, and
faced with stiffer competition than its domestic
business.
"Again, the huge threat they have to deal with is
Bertelsmann," McQuivey said. "In addition to
Germany, Bertelsmann has direct marketing in a
whole host of northern European countries,
including Scandinavia and the Netherlands. For
Bertelsmann, the online move in Europe is a
no-brainer."
In another downside for both Amazon and its
European competitors, Internet penetration in
Europe lags behind Internet penetration in the
United States.
Mark and William:
Let's get this straight -- 000 barriers to entry, highly fragmented industry -- 1000s of competitors already in the market, regulatory regime which fixes pricing -- so you cannot compete on that, no first mover advantage this time, lack of brand name recognition in european countries, and a market with far slower penetration rates so that the next year or so is probably enough time for the 900 lb gorillas to amble over and whack amzn and many other little rodents over their heads with its american tourister briefcases (surely you all remember those commercials!), a lawsuit from walmart (no that they're not a recognized and brilliantly successful company) which may show not that amzn should be taken seriously, but that its employees engage in unscrupulous business practices (should make amzn real attractive as a partner for other companies), merger with bert and bks for on line commerce, ntki--cdnow (and possibly -- bert--bks), a reasonably sturdy market making bks.com more likely and you guys want to argue a bullish posture
puleeeeeez
emjoy your weekends
lp
ps notice that amzn will not be a music juggernaut overnight in these countries ... oh well. at least those cigar an lingerie sales will help out!!! |
