Originally Posted by superego
lil bit different...myspace wasn't actually making money and didn't have jeff bezos running its business.
margins are like 3-5% on e-commerce retail. first to market and scaling is (was) basically the entire competitive advantage.
ebay/paypal are a diff story though.
Originally Posted by Find Finn
I highly doubt their margins are 3-5%.
Finn is pretty much right about the margins, but since they're spending so much to evolve into new markets, it's tough to say what their true margins would be like (see Item 6)
That said, that's all the more reason why Superego is correct in that nobody will be able to take over for Amazon. The scale of their operations combined with their excellent customer service, product offerings, and order turnaround time would be pretty much an insurmountable barrier to entry for all with the exception of Walmart.