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

To: llamaphlegm who wrote (13588)	8/14/1998 9:41:00 PM
From: Wayners	Read Replies (1) \| Respond to of 164684

Technically I think the topping formation is completing now. Head and shoulders top is what it turned out to be. Right shoulder completing next week. Next stop...Neckline penetration at $100 and then game over.

To: llamaphlegm who wrote (13588)	8/15/1998 2:46:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 164684

An article in the August 10th issue of "Inter@ctive Week" trade zine (pg 20) has an article by Stephen Rosen that talks about Bertelsmann's, the worlds largest publisher, internet entry: ". . . Soon after, Barnes & Noble, the largest book retailer in the U.S., entered the online bookselling business by launching a site with a wider range of discounts." "Amazon.com was forced to match those cuts, and today, there are little - if any - price differences . . The price competition, however, has effected the bottom line for both companies, as neither is profitable yet." "With profit margins decreasing and price cuts increasing, sales growth becomes decisive in order to maintain economies of scale." "Though Bertelsmann is entering the online book market relatively late, the market's trends toward brand awareness and discount pricing play directly into the company's strengths. Bertelsmann is a global company with $15 billion in revenue. It has established a worldwide brand name and global distribution system. It is well-established in the multilingual mail-order book business and has years of experience running customer loyalty programs. Its main marketing asset; a database of customer relationships with more than 35 million book and music club members in North America and Europe." "But perhaps the greatest advantage it has over Amazon.com and B & N is that Bertelsmann is the largest book publisher inthe world. And as a publisher, the company has a distinct pricing advantage. It can maintain profits with book prices that are otherwise unprofitable for retailers." "Given how quickly B & N assembled its site to compete with Amazon.com, it is not unrealistic to think that Bertelsmann can leverage it's brand name. mail-order skills, and distribution to do the same." "At the least, publishers will become significant competitors. At worst, retailers would become an unnecessary part of the value chain and would even be eliminated."