Being in a low margin business means you need to make up the difference in volume. On the flip side, having low margins usually means it's more difficult for o

Being in a low margin business means you need to make up the difference in volume. On the flip side, having low margins usually means it's more difficult for other people to come and eat your lunch. Apple's incredible success has little entrenchment (well, it did for a short period earlier in the cycle when every premiere app was iOS only), and investors have to consider the possibility that a single uncompelling product release can devastate the company. Amazon has no such threats.