Amazon.com, Inc. (AMZN) Message Board

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

AMZN 221.24

-0.6%

3:59 PM EST

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To: Dwight E. Karlsen who wrote (37750)	1/31/1999 8:56:00 PM
From: GST	Read Replies (2) of 164684

Dwight <And I might add that Wal*Mart already has the distribution network.> I would love to see somebody explain the distribution advantages of AMZN over Wal Mart <g> Some have compared AMZN to DELL -- but I think that Safeway is more like it. Ever order a bag of groceries over the net to be special shipped? Why not? Because it is a much more expensive form of fulfulling the distribution of low margin, somewhat bulky, commodity items. How much inventory does Safeway hold? Minimal. People order books on the net cause it is convenient -- but that does not make it cost competitive or profitable from a distribution perspective.

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