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> They forgot they were a logistics company Sears was the Amazon of 80's. Peering through the lens of time, the concept of a mail order catalog was no differen
by mbesto 10y ago
> They forgot they were a logistics company
Sears was the Amazon of 80's. Peering through the lens of time, the concept of a mail order catalog was no different from the convenience of today's Amazon e-commerce experience. They are both points on an evolutionary timeline of the retail distribution experience. Sears disrupted retail, just like Amazon has disrupted Sears.
What's interesting about companies like today's Amazon is that they are scared shitless they'll end up becoming another Sears and eventually dead in the water, so they are constantly investing their own profits into re-inventing themselves (see Amazon Go and drone delivery for example). And hence why the PE ratios of these companies (Amazon, Google, Apple, etc) are catastrophically high.
- zimzam 10y agoThe PE ratio of Amazon is catastrophically high (175.8) but Google & Apple are not. The S&P 500's average PE ratio is currently 24.22 [1]. Google/Alphabet is a little higher than average at 27.9, and Apple is solidly in blue-chip territory 13.6 [1] http://www.wsj.com/mdc/public/page/2_3021-peyield.html http://www.wsj.com/mdc/public/page/2_3021-peyield.html
- forgetsusername 10y ago>What's interesting about companies like today's Amazon like today's Amazon is that they are scared shitless they'll end up becoming another Sears Let's wait until Amazon has been around for, oh let's say 100 years, before we talk about them "doing it better" than a company who has been around for 120+.