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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 247.35+0.4%Jan 9 9:30 AM EST
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To: Lizzie Tudor who wrote (36984)1/26/1999 10:09:00 PM
From: Glenn D. Rudolph  Read Replies (1) of 164684
 
For example heres what Im thinking.... Just an example. Say you have a publisher in
NYC. You get a bunch of orders from the east coast for this book + its a regular that you
stock. If you could drop ship 50 books directly to the east coast customers and ship the
other 50 to the regional wh, you would save money (assume the regional wh is in
Virginia or something). But your ERP system knows the name and addr of the customers
which need to get to Fedex and then Fedex needs to get the Airway bill # back to you

Michelle,

This makes sense. You explained it well. Thank you.

BTW Amzn has an edge with this sales tax issue over B&N - any news on that front?
Shipping and sales tax are about the same expense in the heavily populated states.

Barnes and Noble is not charging sales tax except in New York state and one other. The states are not going to stand still for so much commerce being done and leaving them out of the equation. I am not referring to just book, music and the like. The Supreme Court stated a firm has to have nexus in a State for that State to have the right to charge a sales tax. This area becomes blearly as to how a nexus is defined. It is my opinion every State will start charging Use Taxes for "mail order items" which passes the Supreme Court sales tax issue. I doubt this will take more than another year or so.

Glenn
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