Why Amazon has a clear path to profitability

11/5/2013 | Remains of the Day blog · USA Today

Contrary to popular belief, Amazon is already profitable, at least on a per-transaction basis, writes former Amazon employee Eugene Wei. The issue is simply that Amazon is building a path to even greater profit by investing in infrastructure and building out its sales base. "Amazon's core business model does generate a profit with most every transaction at its current price level. The reason it isn't showing a profit is because it's undertaken a massive investment to support an even larger sales base," he writes.

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Remains of the Day blog · USA Today

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