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Thin margins are a sign of an efficient free market. Any long lasting large margin is a sign of a market failure. Maybe Amazon is just really good at that free
by BenoitEssiambre 13y ago
Thin margins are a sign of an efficient free market. Any long lasting large margin is a sign of a market failure.
Maybe Amazon is just really good at that free market thing.
I agree though that it's starting to be time they get a more viable competitor. I'm sure, however, that when they decide to actually try and make a profit instead of just grabbing market share, competitors will pop up. In the mean time, while they continue to operate at zero profits, basically as a charity to consumers, this is a win for efficient free markets and consumers (read everyone) in general.
- consultant23522 13y agoThere's a few other players trying to do similar things. The big box stores are getting better at their online fulfillment. Sears is famously going that route putting a bunch of brands together. No one has come up with the silver bullet to really eat into Amazon's market though, so time will tell.