Amazon, destroyer of worlds

[Batman_fan]

https://www.vox.com/policy-and-politics/2017/6/20/15824718/amazon-whole-foods-profit-margin

Amazon’s zero profit strategy is a disaster for anyone who goes up against it.

Amazon’s takeover of Whole Foods sent the stock of competing grocery chains plummeting. To understand why, you need to know something much simpler than Amazon’s far-reaching ambitions or possible vision for transformation of the grocery industry: Amazon doesn’t make any money.

 

Competing with Amazon is terrifying for any incumbent business because the company’s executive team operates on a radical model whereby the company’s overall net income is nearly zero quarter after quarter.

That is by design, not because they can’t come up with any ways to make money. On the contrary, to the best of anyone’s knowledge many of Amazon’s specific lines of business — including, notably, Amazon Web Services — are perfectly profitable. But while Apple, Google, Microsoft, and Facebook hire lawyers and accountants to amass vast stockpiles of cash legally held in overseas tax haven subsidiaries, Amazon simply chooses to barely accumulate any cash at all.

That’s an enormous problem for every grocery chain in America, which already operate on razor-thin margins. Nobody thinks Amazon bought Whole Foods in order to siphon off Whole Foods’ operating profits in order to subsidize something else. A Whole Foods under Amazon’s stewardship will almost certainly accept lower profit margins than it does as an independent chain — and that spells trouble for everyone else in the grocery business.

[Batman_fan]

Amazon does not care a bit about profits. All it cares is market share and revenue. It is almost 20 years old but still operating like a start-up. 

Walmat, Kroger etc., on the other hand worry too much about profits and dividends. 

 

[dasara_bullodu]

Finally...greed is not good. 

[greensboro]

Next pharmacy market ni kabza chesthadu anta. Merck,novartis,pfizer assam authayi 

[tennisluvr]

Amazon knows very well that they are going to continue as the dominant market leader in the online retail business and they have no one even remotely close to dislodging their position. 

Added to that, most of the companies are moving towards cloud and none as successful as Amazon when it come to capturing the market. There's going to be so much demand and dependency on their cloud platforms in the near future that they can literally use the money they make there to throw around and experiment by investing and diversifying into different businesses. 

Brilliant strategy by Amazon. 

[dakumangalsingh]

5 minutes ago, greensboro said:

Next pharmacy market ni kabza chesthadu anta. Merck,novartis,pfizer assam authayi 

they are into production naa, what will they have to do if amazon is into retail business.

[greensboro]

7 minutes ago, dakumangalsingh said:

they are into production naa, what will they have to do if amazon is into retail business.

Correction: cvs,walgreens assam authayi inka

[phatposts]

America lo individual small businesses enni thriving man asalu?

Either go for franchise or suck it up model majority. 

I have no sympathy for large corporations that get sucked up by amazon.

[idibezwada]

One of my fav CEO

[mastercheif]

koncham amazon rental apartments, amazon health insurance unte bagundu.

paisal save avthayi yemo manaki 

[dakumangalsingh]

4 minutes ago, mastercheif said:

koncham amazon rental apartments, amazon health insurance unte bagundu.

paisal save avthayi yemo manaki 

calling @mettastar

[k2s]

1 hour ago, Batman_fan said:

https://www.vox.com/policy-and-politics/2017/6/20/15824718/amazon-whole-foods-profit-margin

Amazon’s zero profit strategy is a disaster for anyone who goes up against it.

Amazon’s takeover of Whole Foods sent the stock of competing grocery chains plummeting. To understand why, you need to know something much simpler than Amazon’s far-reaching ambitions or possible vision for transformation of the grocery industry: Amazon doesn’t make any money.

 

Competing with Amazon is terrifying for any incumbent business because the company’s executive team operates on a radical model whereby the company’s overall net income is nearly zero quarter after quarter.

That is by design, not because they can’t come up with any ways to make money. On the contrary, to the best of anyone’s knowledge many of Amazon’s specific lines of business — including, notably, Amazon Web Services — are perfectly profitable. But while Apple, Google, Microsoft, and Facebook hire lawyers and accountants to amass vast stockpiles of cash legally held in overseas tax haven subsidiaries, Amazon simply chooses to barely accumulate any cash at all.

That’s an enormous problem for every grocery chain in America, which already operate on razor-thin margins. Nobody thinks Amazon bought Whole Foods in order to siphon off Whole Foods’ operating profits in order to subsidize something else. A Whole Foods under Amazon’s stewardship will almost certainly accept lower profit margins than it does as an independent chain — and that spells trouble for everyone else in the grocery business.

In Greek mythology, the Amazons were a tribe of women warriors. Apollonius Rhodius, at Argonautica, mentions that Amazons were the daughters of Ares and Harmonia. They were brutal and aggressive, and their main concern in life was war.

[bhaigan]

41 minutes ago, k2s said:

In Greek mythology, the Amazons were a tribe of women warriors. Apollonius Rhodius, at Argonautica, mentions that Amazons were the daughters of Ares and Harmonia. They were brutal and aggressive, and their main concern in life was war.

, I thought he took amazon word from amazon forest as inspiration or nice thought or something else

[lazybugger]

1 hour ago, greensboro said:

Next pharmacy market ni kabza chesthadu anta. Merck,novartis,pfizer assam authayi 

lol. 10yrs koorchuntaada R&D, FDA chuttu tiruguthu?

[lazybugger]

What about open source amazon model? obviously it won't be as effective as amazon is, but I think it is the future.

amazon is just paving the way for the future.