<<Down 89% from the top can look appealing, but it still doesn't have a viable business model, IMO. By comparison, I think AMZN does have a viable business model!>>
i totally disagree. AMZN will likely NEVER make money. their answer to critics is to sell even more merchandise for even lower gross margins (actually, at losses). compare it to the local pizza joint.... how long can they sell pizzas for $3 if it costs them $3.50 to make them? AMZN would answer, well, gee, let's just lower the cost to $2.50 and we'll sell more and pump up our revenue even higher. who cares if they're the most recognizable online retailer if they can't make money?
HLTH, on the other hand, actually has a niche market.... but, yes, it's a new market. the great thing is that they are getting others (namely, MSFT, Rupert Murdoch, Dow, etc.) to foot the bill for the marketing. i think the risk reward for HLTH is MUCH better than for AMZN. |
