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Strategies & Market Trends : MDA - Market Direction Analysis

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Nov 28 4:00 PM EST

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To: Carl R. who wrote (14270)	5/18/1999 9:24:00 AM
From: Robert Rose	Read Replies (1) of 99985

<My guess is that the e-tailers will be the least successful group as there are less barriers to entry > I am inclined to agree with you, but for a different reason. etailers will be less successful due to low margins, rather than few barriers to entry. Depending on the business model, etail barriers to entry can be formidable. For example, Amazon is losing money hand over fist now because they are building barriers to entry: a highly sophisticated inventory management and order fullfillment system (back office stuff) that will make it very difficult and expensive for others to compete. I agree with everything else you have said in your posts, btw. Interesting that you don't list any Internets as favorite stocks in your profile.... Rob

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