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

AMZN 232.88

-0.8%

Nov 17 3:59 PM EST

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To: Sarmad Y. Hermiz who wrote (59213)	5/30/1999 1:06:00 PM
From: Lizzie Tudor	Read Replies (1) of 164684

Thanks that covers it. Once again nothing new... I think the most critical point is this "Amazon is a middleman" issue, which really applies to all net retailers if you think about it doesn't it? In the past we needed retailers but now... I don't know, I would say for drugs and groceries we still need the retail channel on the net, definitely. But taking toys as an example if fisher price is willing to sell at 5% margins etc. then it sure is a tough call isn't it? Automation/volume economies of scale will never compensate for no middleman margin... I guess it all comes down to whether the manufacturers want to sell direct or not.

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