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

To: Jan Crawley who wrote (26038)	11/15/1998 1:45:00 PM
From: John O'Neill	Read Replies (1) \| Respond to of 164684

So why the high multiple? Does anyone on thread have idea (other than tulip type speculation?)

To: Jan Crawley who wrote (26038)	11/15/1998 2:01:00 PM
From: Rob S.	Read Replies (1) \| Respond to of 164684

Although this topic may appear to be incidental to Amazon it's not really. This is just one more factor that indicates the "nature of the Internet" - a mega power shift that shatters brokered, broadcast type centralization of economic power and toward a decentralized and user empowered sphere of influence. An opposing force is the collapsing of lines of production and distribution of commodity goods and services. There is benefit to vertical integration from the manufacturer to the customer - reducing the number and time of product and information processing steps between providing product information on what a customer wants and production and delivery of the item. Barnes & Noble, Bertelsmann, Costco and WallMart are building their businesses based largely on this. This force tends to favor a few highly efficient, integrated manufacturers/suppliers. On the other hand, the interactive nature of the Internet tends toward decentralization and individualism and lower prices. The large Internet e-tailers are attempting to personalize their sites to take advantage of both aspects. It remains to be seen how this clash of forces will play out in the next decade or two.