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Strategies & Market Trends : Anthony @ Equity Investigations, Dear Anthony, -- Ignore unavailable to you. Want to Upgrade?

To: J.S. who wrote (28679)	4/9/1999 3:34:00 PM
From: J.Y. Wang	Read Replies (1) \| Respond to of 122087

> You say most...are there any exceptions? Usually when someone uses the qualifier "most", it means there are at least "some" exceptions. For example, I think AOL and YHOO are going to be around for a long time. Why? Because they have a profitable business model, and, perhaps most importantly, they have BARRIERS TO ENTRY. It does not mean yahoo is worth 700+ P/E ratio right now, however. I believe EBAY has substantial barrier to entry as well. The majority of internet companies out there have little or no barriers to entry. Look at AMZN. It's beginning to realize that "low prices and large selection" do not make a barrier to entry because buy.com and other what I call whores-online.com companies are starting to eat their lunch. I use AMZN's online book reviews and then save 20%+ by buying from buy.com. I have never bought anything from AMZN and probably never will. Buy.com's business model is taken straight out of that famous SNL skit -- buy.com is going to make money by selling stuff below cost and making it up on volume (and advertising)! It's laughable but I don't care -- I get to buy stuff below cost. Is there any loyalty to buy.com on my part? Are you kidding? If www.cheaper-whores-online.com comes into existence, I am there. It's customer loyalty in the 21st century. As I wrote about EFAX, I believe the mass majority of commerce on the internet will be done by existing large corporations, like the baby bells in the case of EFAX.