SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?


To: Glenn D. Rudolph who wrote (106581)7/27/2000 12:18:21 PM
From: Rob S.  Read Replies (1) | Respond to of 164684
 
Hi Glen.

My reaction to the conference call and earnings report could be summed up as: Amazon has tried to focus on cutting costs by reducing some of the more aggressive or marginal promotion programs and fine tuning operations expenses. What upset analysts is that Bezo stated that Amazon was willing to sacrifice sales growth for reducing losses. While any third year business student should have enough sense to understand the concepts of diminishing returns and push marketing, the reality that Amazon can't have it's cake and eat it too is just sinking in to the inherently biased analyst crowd.

It should come as no surprise that reduction of the "Money for Nothing Marketing" methods that Amazon has employed in the past (paying customers to buy their products) reduces sales.