Tomahawk, WI 10/23/2013 (BasicsMedia) – Amazon.com, Inc. (NASDAQ:AMZN) has been serving its customers using its retail websites and by paying special emphasis on price, selection and convenience since 1996 when it was incorporated. It has grown into a major global brand enjoying market cap of more than $150.28 billion. AMZN has now added Kindle devices in its inventory, which it manufactures and sells all over the world. It continues to attract a lot of attention from various investor and analysts where some focus on the company’s inability to turn in profits on a more consistent basis.

AMZN used to focus only on a few products, but this has now changed. The company has changed its business model and I believe it is now at par with Google Inc in terms of diversification. I think that AMZN is often misunderstood where some investors believe it is burning through money, more than it makes. As long as the company does not post any profits, I believe this debate will continue for a long time to come. There is no two ways about it, AMZN must make money for investors and fulfill its obligations to Wall Street.

AMZN Being Investigated by German Antitrust Authority

AMZN has even attracted the attention of Germany’s antitrust body. This German authority is concerned about AMZN’s regarding undermining of its competition. German remains one of the largest markets for AMZN after the U.S. The watchdog is also interested in AMZN’s tax behavior in the past and wants the government to look at this as well. I believe that the company must find ways of examining its activities in German since it cannot afford to lose its share of the market here. AMZN demands that third party merchants must sell products at the cheapest rates.

The problems facing AMZN are quite diverse and they must be looked into. None of these problems presents serious threats to AMZN, which is often described as a low-margin retailer or tech company.  AMZN sells its own products through its many retail websites, offers a platform where people can buy or sell the goods they need, and is an ecosystem where apps and content can be marketed. Each piece of AMZN has to make money lest it starts losing investor confidence.

AMZN’s Stock Has Gained

The stock is not doing badly either and its performance is more or less similar to that of Google, which recently surpassed the $1,000 mark. This happens despite the fact that its new products, such as Kindle Fire, are not doing as well as was expected. However, this has not messed up with my belief that the company’s fourth quarter of 2013 financial results will indicate an increase in revenue. The Kindle Fire will start doing well, but I do not expect this to take place right away. The expected launch of gaming consoles will also have a positive bearing on AMZN’s revenues.

The aforementioned do not take away from the fact that AMZN is still a great stock for investors to add to their portfolio. I believe that its varied investments will have positive effect on the stock, in terms of increasing revenue and boosting profits, although the exact timeframe is still unclear.

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