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It is definitely worth noting that Amazon has a shareholder problem. Yes, they have devoured everything large and small but profit margins are razor thin. One of the most brilliant things that Jeff Bezos did was telling his early investors not to see a return for several years, but the market does and will demand returns. Given that Costco makes most of its profit on membership fees it will be interesting to see if the Prime increase is sufficient to both sustain or improve service levels and increase profitability.



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