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To: Bill Harmond who wrote (7732)	6/22/2001 10:26:17 AM
From: Glenn D. Rudolph	Respond to of 57684

I realize that the Web has added to David Jewelers' productivity, but if you plan to compare your progress to Amazon's, you must consider the qualifiers, which I'm sure you do. Bill, The debate as to the effectiveness of Amazon has gone on for years. I was not comparing David Jewelers to Amazon as much as dual channel to pure play. My premise has been dual channel is needed to survive for product sales that are not service only. Amazon seems to be the compared to firm only due to the fact they have had enough money to remain in business as a pure play until now. There really are not any others. My only point is there are more fixed costs with dual channel and the e-commerce is incremental revenue without a lot of added expense. This assumes the project can be handled in house by those already on the payroll.