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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 232.88-0.8%Nov 17 3:59 PM EST

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To: Lizzie Tudor who wrote (64774)6/27/1999 10:57:00 AM
From: Glenn D. Rudolph  Read Replies (2) of 164684
 
To be fair we don't know if this is
the end product or a first draft for them, however.... I am fairly sure that appliances are
one of the goods that will benefit the most from centralized storage/warehousing and
point to point shipping as opposed to traditional multi-regional warehouse and shipping.
Therefore, we should see at least 40% reduction in pricing over the web if they are
really trying to do anything with it. At this point these goods are actually more expensive
than I have seen locally:


Michelle,

This is an area I do not understand. Is the AMZN's distribution centers the centralized storage/warehousing and point to point shipping system? I am "assuming" they are and if that is the case, their ability to distribute major appliances is superior to that of Sears.

It is clear to me that good part of the cost of major appliances is storage and shipping. These are the areas in which I believe AMZN can excel since they have developed such a large group of distribution centers. My argument does not end with major appliances as it also applies to furniture, pianos, spas, garden tractors, etc.

Glenn
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