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Revolution of Retail

Many companies have a huge capacity for making money though they have a small clientele. Amazon.com Inc. (AMZN) is unusual among the largest companies in the United States ranked by market capitalization. Their profit margins are small, but their stocks are expensive. It is one of those companies which tries to do something novel and thinks of its impact on finances later on. So, the answer to the question on how Amazon makes money is simple. Revenue is only a part of profit and Amazon's most profitable endeavor to date is something blessedly low-tech - the one-price shipping of Amazon Prime. Amazon has redefined commerce for the whole world and has leveraged itself to a position of market dominance. With unparalleled convenience and receptive customer service, Amazon seems bound to continue its prosperous growth in its third decade of existence and beyond. Read more at: : http://www.investopedia.com/articles/investing/060914/how-well-all-be-amazoncom-customers-eventually.asp

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