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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 244.25-2.0%3:59 PM EST

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To: Randy Ellingson who wrote (93521)2/14/2000 7:34:00 PM
From: Bearded One  Read Replies (1) of 164684
 
I skimmed it. So far the biggest howler is this one:


Economies of Scale: Because the company is the largest online retailer, it should realize economies of scale. This is a key competitive advantage.


1) The internet is empowering to everyone-- essentially everyone benefits from economies of scales more equally than, say, a manufacturing business.

2) Despite that, Amazon's "economies" of scale hasn't prevented them from losing more money than just about every other internet retailer combined in the last few years.

Once again, I see aphorisms masquerading as research and lofty pronouncements that are strangely discontinuous from the underlying realities.

Nice color charts, though. And the layout is quite spiffy. It really does look like it was done by a professional who knows what he's doing.
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