I get the author's point that they don't like investing in companies that hoover up investment dollars, but the selling $10 for $5 example annoys me. Any GAAP-

I get the author's point that they don't like investing in companies that hoover up investment dollars, but the selling $10 for $5 example annoys me. Any GAAP-based income statement starts off total income minus cost of that income equals gross income. Check out the income statement for Amazon... https://finance.yahoo.com/quote/amzn/financials/ https://finance.yahoo.com/quote/amzn/financials/ Amazon lost money for a bazillion years, and they continued to get investment dollars. What is one reason that Amazon could do this? Because they were selling things for less than it cost to make or acquire these things. If Amazon's business model was to buy a book for $10 at Barnes & Noble and sell that book for $5 on Amazon.com, they would never have gotten off the ground. None of the companies in this article buy something in this spend $10 make something they sell for $5. Interesting article. Bad example.