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

To: Mark Fowler who wrote (4524)	5/19/1998 10:20:00 PM
From: Glenn D. Rudolph	Read Replies (1) \| Respond to of 164684

Most of their revenues are spent on marketing cost to expand there markets . Mark, I do want to point out that Amazon groups their operating costs into their marketing costs. Not typical accounting and almost impossible to determine how much operations are costing them. I am bothered by that because I feel they are trying to hide their costs of operations. I guess I would be more comfortable if they would use general accounting principles and have a line item for cost of operations. The cost of operation is variable to most extent. There is some enconomy of scale. Glenn

To: Mark Fowler who wrote (4524)	5/20/1998 12:40:00 AM
From: Skeeter Bug	Read Replies (1) \| Respond to of 164684

>>And right now they have a lead over there competition by a mile. Most of there big competitors are inefficient and are slaves to there past.<< this is the story. it is wrong. it will take time for people to realize it. amzn doesn't need stores. they do have large shipping costs, however. funny, you didn't mention that! what is their shipping expense as a percentage of revenues? guess what? b&n doesn't have store expenses for their web site either! wow, what a concept. even more, the stores they do have are PROFITABLE! oh, no! not evil profits! what a terrible concept - profitable stores! ;-) the worst thing amzn could do is put up profitable stores to augment their website, right? how horrible. the story is wrong and reality will prove it to be thus. it will take time. woe to the starry eyed when it falls apart, though.