Monday, October 28, 2013

Amazon's "Profitless" Strategy is its Strategy

Amazon confounds many observers, who worry that Amazon “never” will improve its profit margins, or perhaps even make any profits. Supporters might say the profit margin strategy is intentional, structural and part of Amazon’s core approach to future domination of retail.

Others say Amazon could become profitable if it chose, but simply chooses not to do so. But Amazon profit margins are a part of its business strategy, even detractors might agree.

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Directv-Dish Merger Fails

Directv’’s termination of its deal to merge with EchoStar, apparently because EchoStar bondholders did not approve, means EchoStar continue...