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Yeah, because they didn't have to build out factories and 500,000 cars in order to grow. If they did, they would have tapped the markets too.
by aerovistae 9y ago
Yeah, because they didn't have to build out factories and 500,000 cars in order to grow.
If they did, they would have tapped the markets too.
- IBM 9y agoAmazon's "factories" were fulfillment centers, data centers, and free shipping. All of which were extremely expensive.
- krschultz 9y agoThat's a complete misreading of Amazon. Their entire competitive advantage is having really cheap capital which enables unbelievable capital investment. First it was in distribution centers (3PL), then servers (AWS), and next likely be parcel delivery (look out FedEx). The e-commerce business is the first and best customer of each of these services, but they're basically a conglomerate of capital intensive low margin infrastructure services.