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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 233.95+0.3%Dec 1 3:59 PM EST

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To: H James Morris who wrote (133193)10/20/2001 3:40:52 PM
From: Glenn D. Rudolph  Read Replies (1) of 164684
 
>Can Bezos live up to his 'It's about profitability' claim?
cbs.marketwatch.com.


James,

Good article. I know as a fact that the September 11th issue (that is a loose word for it) cause a decrease in on-line selling activity for about 10-14 days. I no longer am marketing just to my local market so I believe I can speak reasonably accuratly about on-line sales in general. The September 11th terrorist attack has turned out to be a boom for on-line selling. Many people (lots of "chickens") are avoid traditional shopping centers due to fear of harm. They are buying on-line. Most are not buying from pureplay firms and most have no need to leave their houses with shopping oniline with a familiar firm. This is a fact. JC Penney has confirmed it, Costco will confirm it as will Kmart.

Amazon had made some big time errors. The widly touted agreements with Toys R Us does reduce Amazon's risk to inventory exposure. It also cuts into Amazon's share of the net. The same applies to Circuit City, Borders, etc.

You one accurately stated that Amazon is one of the most controversial stocks or firms ever. I am not sure if your reference was only to the stock. I have to agree. Amazon no longer has a business model plan from what I can tell and is negotiating deals from the seat of their pants. They cannot even decide if they want to provide outsourcing for fulfillment or just content. We are seeing a multibillion dollar firm with no focus and no goal. If it had not been for the easy money available in 1998-1999, the firm would be long gone.

We are still or target for Chapter 11 in Q1 of 2002 unless AOL provides a few hundred million dollars in cash. The one hundred million is not nearly enough.
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