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Strategies & Market Trends : MDA - Market Direction Analysis
SPY 680.28-0.5%4:00 PM EST
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To: HairBall who wrote (14207)5/17/1999 1:16:00 PM
From: donald sew  Read Replies (2) of 99985
 
Larry,

>>>> Don't forget...AMZN is lowering its prices...that's got to help those profit margins... <<<<<

As for the e-commerce internets, down the road they will just face more and more competition, and that's just in the U.S. Wait until
the global competition starts picking up.

Im no expert in setting up websites, but would suspect that it would not take that long. I doubt the big retailers will just sit on their
hands while e-commerce companies are taking away their business. As
for global competition in the e-commerce area, they just have to set up a distribution network which would take about 3-6 months. If the shipments are small parcels like textiles that is quite easy. Pick one or a few transportation low cost hubs like Memphis/and Sparks NV and just arrange U.S.PARCEL POST to do the rest. If its bigger parcels then it becomes more difficult since it might involve owning their own fleet of trucks. Of course alot also depends on the number
of different items.

If someone either overseas or in the U.S. hasnt done it already, name the website "IMPORTs DIRECT" at 50% below retail costs. As already mentioned landed goods in U.S. is anywhere from 25-50% of retail prices.

Just thinking about it, but the internet could substantially reduce costs which would help to keep inflation low, but at the same time
it would reduce profit margins of companies. Interesting.

seeya
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