Wednesday, January 28, 2009

Business in 2012

The Motley Fool is running an interesting series of articles on how many of our flagship tech companies are going to look in the year 2012. One of the author's premonitions on the future of local tech giant Amazon.com, had an interesting thought about their Prime shipping service that will be a key advantage for the company. Many of Amazon's competitors are specialized retailer's with a focus in a specific niche such as in jewelery, clothes, etc. For many of these retailers, consumers do not make frequent enough purchases to make investing in a prime-type shipping service worth while. Over time, consumers shift more and more of their buying dollars to Amazon, because they sell everything and they get "free" shipping there. The article does point out that Wal-Mart, Target or a similar real world retailer could potentially offer up a similar prime-type service, but so far they been too slow to adopt to the online environment and could give Amazon.com plenty of time to develop an unassailably dominant position. The Motley Fool also has some pretty interesting thoughts on Google, Netflix and Apple, among others.

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