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Strategies & Market Trends : Value Investing -- Ignore unavailable to you. Want to Upgrade?

To: Spekulatius who wrote (59292)	3/28/2017 1:26:56 PM
From: Micah Lance	Respond to of 78476

I think the biggest example would be gamestop (GME). They sell video game equipment of all types, but what happens if Microsoft, Sony, and Nintendo expanded their ecommerce departments? I mean you can already buy a console online, which is a one time purchase, and you can buy games digitally. These digital games can be pre ordered and pre downloaded, so upon official launch of the game you will already all the content downloaded on your console without waiting in line at a store. The only downside is that you can't return those games or trade them in, but even when you do that at gamestop you only get pennies on the dollar. I think they would still have a market in old and refurbished games and consoles, but their revenues could be materially impacted. I think there are a few more examples of retailers like this.. If product/clothing developers come out with improved/innovative ecommerce then I think distributor type retailers will have a tough time. I do agree on REITs, but I think the property would have to be able to serve another purpose like a situation where a clothing store could be converted to something else. Without looking, I would say shy away from mall REITs. I'm not sure the prices of any, but if retail continues its nasty decline then malls will see some real trouble. I do think this will provide some real opportunity, IMO its just not here yet due to the cheap financing available so for now I will watch and wait.