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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 227.35+0.3%Dec 19 9:30 AM EST
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To: Lizzie Tudor who wrote (69490)7/25/1999 7:31:00 PM
From: Eric Wells  Read Replies (2) of 164684
 
Michelle - thanks for your reply. You bring up good points - and I will concede that it definitely will be difficult for Wal-Mart to revamp their web site to a state such that it rivals Amazon's. However, I don't believe it is impossible - in fact, I think it is very possible that Wal-Mart can do it.

You're points on the advantages and difficulties of implementing a good manufacturing software system are well taken - but I don't really need to say that this doesn't apply to Wal-Mart (since they don't manufacture anything - or at least, I don't believe they do). Wal-Mart does, however, move a lot of products around - and they have already demonstrated their superiority in using software in this area (they are known for having what is probably the best retail distribution system). Of course warehouse-to-store distribution is a different thing than warehouse-to-home distribution - but I don't think it is beyond Wal-Mart. I think it is possible for Wal-Mart to extend their current distribution systems with a web ordering front-end.

We may differ in our opinions on the point of Wal-Mart's ability to execute on the web. Wal-Mart has proven themselves to be smart and successful in the past. They are not going to take a threat to their markets from Amazon lying down. Don't forget that Wal-Mart already has huge market share and great brand recognition - Wal-Mart just has to be successful in moving that market share to the web.

Thanks,
-Eric
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