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Amazon was wildly profitable on a unit cost basis from relatively early on. They didn’t show profits on paper because they reinvested everything into their capi
by abtinf 8mo ago
Amazon was wildly profitable on a unit cost basis from relatively early on. They didn’t show profits on paper because they reinvested everything into their capital buildout to reduce costs even more.
- stingraycharles 8mo agoI thought Amazon was selling quite a few items at a loss to undercut competition early on?
- ayewo 8mo agoThey did in some instances, not all. A notable example where they ate $ millions in losses is the Diapers.com story [1] [2]. [1]: https://slate.com/technology/2013/10/amazon-book-how-jeff-bezos-went-thermonuclear-on-diapers-com.html https://slate.com/technology/2013/10/amazon-book-how-jeff-be... [2]: https://arstechnica.com/tech-policy/2020/07/emails-detail-amazons-plan-to-crush-a-startup-rival-with-price-cuts/ https://arstechnica.com/tech-policy/2020/07/emails-detail-am...