Quote:
Originally Posted by crich70
As he probably has billions I imagine losing a million here or there doesn't mean much to him, but a thousand little cuts can lead to a company bleeding to death.
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Amazon has billions of cash reserves and even more in untapped credit.
Bleeding to death is not an option here because Amazon has abundant cash flow--unlike companies at actual risk that in the red because of lack of revenues, which is out of their control, hence the death spirals--Amazon runs in the red because of spending in new businesses.
Which is something they control.
If Amazon ever got near the edge they wouldn't even have to raise prices, all they'd have to do is slow or stop spending on new warehouses.
There's no Amazon death spiral anywhere on the horizon, no matter how tightly some might screw their eyes and click their heels.
