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To: e. boolean who wrote (17914)	9/23/1998 8:32:00 AM
From: Glenn D. Rudolph	Respond to of 164684

I do not understand the things I have heard about Bezos having stumbled on some previously unexploited retailing goldmine because he gets paid before he needs to pay his supplier. Don't all retailers operating this way need to eb, Most retailers do not operate this way. Most retailers buy their merchandise and pay for it with some form of terms (30, 60, 90 days, etc) and receive a discount for early pay. Most items are exchangeable for other merchandise in my business if it is not selling. Not sure about apparel, etc. Money is tied up in inventory but it is right there for the customer to take out of the store. . pay a premium for the credit card sales, and They all pay a discount fee or premium if you wish for card sales. The percentage typically depends on two factors. The total yearly dollar amount of sales and the average ticket price. The higher the average ticket price the lower the discount. That is more important than the total dollars. pay a premium to their distributors for carrying the inventory for them? Those that cannot afford their own inventory and buy from a "wholesaler" on demand pay 10% more typically for their merchandise. Other questions: How long does it take a credit card company to pay you after you submit a charge? This may sound like a simple question but not entirely. Master Card and VISA credit the store account in 24 to 48 hours depending on the season. Discover, now Novus, 72 hours and American Express about 72 hours too. The "concept"of being paid first for one merchandise before paying the supplier is not new. Note fast turning items are sold way prior to the 30 days to pay the supplier and wholesalers only want paid when the merchandise is sold. Glenn Glenn