Amazon.com, Inc. (AMZN) Message Board

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

AMZN 232.52

+0.1%

Dec 26 9:30 AM EST

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To: umbro who wrote (12399)	8/3/1998 1:52:00 AM
From: Rob S.	Read Replies (1) of 164684

I've studied this issue quite extensively for my own inet business plan and don't think that 10% or 15% commission rates are sustainable. Nice to get the business going and get associates fanatic about the money they envision making, but it is in La La land for future competitiveness. B & N's numbers look more sustainable. The bottom line is that the cost of commissions can't afford to exceed the cost of advertising and promotion through other means. If it does, then the COGS must be higher than competitors to maintain the same profit level.

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