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Technology Stocks : DRIV (DIGITAL RIVER). Get in on internet IPO.
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To: M. Frank Greiffenstein who wrote (2739)10/25/1999 8:29:00 PM
From: Charlie Smith  Read Replies (1) of 3198
 
Frank:

The PR says 19 v. 18.9%

Comparison is against previous calendar quarter, not year over year.

E-Commerce was supposed to eliminate many costs of goods and other expenses.

"E-Commerce" has little or no effect on cost of goods, but instead reduces distribution and marketing costs and therefore boosts operating margins. DRIV hopes to sell at lower gross margins than B&M retailers, thereby offering a better value to consumers, but keep more as profit through lower sales and marketing costs. In other words, pass on some of their operating cost advantage, but not all of it.

Charlie

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