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Technology Stocks : Amazon.com, Inc. (AMZN)

AMZN 226.19

-1.8%

Dec 12 3:59 PM EST

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To: HG who wrote (88836)	12/28/1999 12:53:00 PM
From: Glenn D. Rudolph	Read Replies (1) of 164684

You really think so ? Maybe right now it doesn't count becoz the internet usage is limited to the financially comfortable or affluent. What happens when the PC becomes a commodity like a refrigerator, which it will, in the next 10 years or so. Would you say price will not matter ??? HG, I suspect I was not clear. I see a continued development that fits the profile of this type of retailing that I suspected two years ago. My point is the convenience of e-commerce has to come at a price that is as high or higher than the pricing in traditional stores. If a firm cannot command the higher price, it will never turn a profit. I am not stating that a firm can maintain the higher price but that it must be able to to ever be a profitable business. I do not see the lower income families coming online spending a lot of their income via e-commerce. They would prefer to save a few dollars and go to a traditional store. The question remains is there enough people willing to pay a price premium to support many stores in e-commerce. Chances are no in my opinion so this will never become a main type of shopping concept. Glenn

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