Their model has a lot of hurdles that they need to leap to get it to work.
More Quotes from Mark Rowen:
We believe we're moving ever closer to the light at the end of the valuation tunnel on eBay,Mark Rowen
In theory, in order for free shipping offers to be successful, the company would have to generate enough incremental revenue and contribution profit to pay for the cost of the shipping promotion. However, we believe Amazon.com has consistently failed to generate anywhere near the amount of incremental revenue and profit needed to pay for the lost shipping fees.
Mark Rowen
Although the deal is a psychological boost for Amazon, it does nothing to address the key strategic issues the company faces namely, a lack of growth in its profitable boom, music and video segment, and a lack of profitability in its fast-growing consumer electronics business.
Mark Rowen
In our opinion, such massive increases in active customers, coupled with massive increases in lifetime value, will be enormous challenges for a company with such high rates of customer defection.
Mark Rowen
They've shown that they can grow revenue and lose a lot of money and they've shown that they can improve economics, but that slows revenue growth. They're going to have to find a balance to do both.
Mark Rowen
They clearly, the two of them, have the best sites out there consumers love going there and booking their own business.
Mark Rowen
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Dick York
My talent for playing the drums was a gift from God.
Keith Thibodeaux