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Technology Stocks : Amazon.com, Inc. (AMZN) -- Ignore unavailable to you. Want to Upgrade?

To: Bill Harmond who wrote (146568)	9/2/2002 4:23:08 PM
From: Lizzie Tudor	Read Replies (1) \| Respond to of 164684

OK so this (sale of bol.com) means there is no other major online retailer in europe? Ebay is not experiencing the same kind of intl success that they have here. Maybe amzn can become a truly global company though, they certainly face tougher startup challenges. L

To: Bill Harmond who wrote (146568)	9/2/2002 4:23:50 PM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

"So much for low barriers to entry! " I am not sure you were implying I said that. I was not one of the group making the argument there were low barriers to entry. Rather, my position has always been that the only way to turn a profit selling on-line is by selling at price above that of traditional stores. People will pay for the convenience and it is convenient. I must have said hundreds of times that Amazon's cost of fulfillment exceeded its gross margins. I am sure you recall me making that statement. The solution is either to increase gross margins or reduce fulfillment costs or a approach it from both sides. I am only explaining this due to the fact I was/am bearish on the future prospects of Amazon but not always for the same reason as that of many others. By the way, I continue to think over Amazon's decision to basically offer free shipping without coming to a conclusion. I believe I am missing some needed information only Amazon has from their current experience selling on-line. My customers do not seem to have much opposition to paying shipping charges. My average customer is not buying a $20.00 book and a DVD. It is different. One last comment. Selling my products on-line have very high barriers to entry. Specifically capital requirements.