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To: Charlie J who wrote (44326)3/7/1999 10:48:00 AM
From: Glenn D. Rudolph  Respond to of 164684
 
"fulfillment costs exceed gross margins"

So how did mail-order resellers ever get profitable?


Chuckie,

They sell to a specific group of people who are willing to pay more than it would cost at the local retail store. These people pay more so they have the convenience of home deliver and shopping. Amazon will have to charge more that retail stores also to turn a profit.

Glenn