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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 232.52+0.1%Dec 26 9:30 AM EST

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To: Lizzie Tudor who wrote (63503)6/21/1999 11:01:00 AM
From: Bearded One  Read Replies (1) of 164684
 
I just thought it was interesting that you would think that any store could set up an e-commerce storefront and be profitable, that goes way against the grain, since you would have all the traditional capital expendutures of multiple regional warehouses, logistics etc. and finally the individual store warehouses, and on top of that the e-commerce expenses for site implementation... the worst of all worlds...

Multiple regional warehouses???? Since when does a neighborhood store have to set up multiple regional warehouses?

Here's the logic:

A store that already exists is probably already profitable. Thus all the 'traditional capital expenditures...' have already been factored into the store's existence.

E-commerce is an add-on to the store. Why does a neighborhood store need a fancy million dollar site? How about taking orders by email to go along with the orders it takes by phone and fax? And if it has some more money, then put up a web site with a bunch of checkboxes next to items and a simple forms script. Like everything else in the world, the store adds as much value as it can do economically.
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