Category Archives: AmazonBusiness

235. Embrace All-Win, High-Hourly Wages (like Costco)

In the News: “$15 Living Wage” v Amazon and Costco Strategies

The “$15-hour living wage” movement will continue. It will: buy votes; liquidate jobs; and boost McDonald’s prices more than the new, net wages. Although many voters are weak at system-thinking math, Amazon and Costco are not.

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232. 15-Year, Margin-Trend Insights for: Grainger, Genuine Parts, Fastenal

Questions & Steps to WOW Charts!

What do the trends for three percentages of sales – gross margin, op. profit, and net profit -do for: GWW, GPC and FAST?

  1. Go to macrotrends.net (cool, free tool)
  2. Search for each of the three companies
  3. For each, select the first option: “revenue”.
  4. Once to the “2006-2020 Revenue” page click on: “margins”.
  5. Then, slide the cursor bar over the trend dots to see how percentages track or don’t!

Continue reading 232. 15-Year, Margin-Trend Insights for: Grainger, Genuine Parts, Fastenal

210. The Future is Easier to Understand in Your Own Back Yard

(This week’s blog is from a frequent collaborator, Bill Wade: a career distribution expert especially for heavy duty truck and automotive parts.

Amazon is expanding US fulfillment capacity by 50% in just 2020 as they drive towards 12-hour delivery in a 24-hour day. They are doing heavy build outs in target cities including Bill’s hometown of Chicago. Parts distributors of all types will feel the heat.)

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199. Create – Targeted, Additive, Service – Vigorish

Vigorish?

Vigorish (“vig”) is the fee charged by a bookmaker (casino or loan shark) for accepting a gambler’s wager. For roulette, gamblers bet on 1- 36 possibilities. The wheel, though, has 38 slots that include 0 and 00. When the ball lands in the 0’s (2/38th or 5.26% of the time) the house takes in all bets. With a 5%+ edge and time, the house prospers.

What if your company had several, service-value edges over the competition? Or, conversely, would you want to compete against a firm that has big, additive, value and/or cost edges over you? Two cases.

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