• 0 Posts
  • 31 Comments
Joined 1 year ago
cake
Cake day: June 12th, 2023

help-circle







  • I know a lot of people won’t believe it happens, because the simpler and more mundane explanation (which is usually the true one) is that it isn’t necessary because of all the data that we know is being collected like browsing habits, searches, etc but my partner has a few times tried to test this as a party trick. Normally her ads are for like kitcschy knick-knacks or like funky flower pots but one time we were hanging with friends talking about this discussion and we decided to all repeat out loud “lab grown diamond engagement rings” for about 15 min. Not 1 hour later she had an Instagram ad that said word for word “lab grown diamond engagement rings.” I know it’s anecdotal and isn’t proof but we’ve done this a few times and it’s seemed to work about half the time; each time we get an ad that’s both hyper specific to what we’re taking about and also not something close to anything we’ve been advertised before.





  • Private companies are allowed to have many failures before they succeed, unlike NASA who lose public goodwill and therefore potentially lose funding when they fail. SpaceX blew up a ton of rockets before they succeeded in having the first reusable rocket. It’s much faster to iterate this way but also more expensive, so NASA cant really operate this way. Although on the other hand all the private aerospace companies seem to rely on government subsidies so it’s pretty crappy we cant just fund NASA more.







  • Because AZ represents almost 40% of the ecommerce market, because no other company is as horizontally and vertically integrated, because no other company has the same stranglehold on third party sellers. I’m not defending the practices of other retailers; that isn’t what this lawsuit is about. It’s the practices COMBINED with the unique position that AZ holds where they control so, soooooo much more than any other retailer. Honestly AZ is like textbook monopolistic and if you still can’t see how that’s a bad thing I can’t really help you any more.


  • Remember that AZ takes a percentage cut of each sale and is also able to ship cheaper than basically anyone because of their position in the market. So imagine you have a product, and in order to make a profit from said product you have to charge $x. But in order to profit after Amazon’s fees you have to charge $x + $y on Amazon’s platform. So that’s where the “prices too high” cones from. If your product does well on amazon they’ll make their own version and sell it for less than $x. Now you get less sales on AZ and you can’t go back to selling on your own site because you can’t compete with your higher shipping costs, plus AZ can run at a loss on the product they copied from you until you’re out of business… This is where the “prices too low” comes from; the price AZ can offer is too low for you to compete with. After you go out of business, AZ can charge whatever they want. So you see “prices too high” again.

    When you start selling a new product you take on risk because there might not be a sustainable market for it. AZ never has to take this risk, but they can reap the rewards from your risk if it does well.