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Subject: RE: UKNM: Toys R US - site, outdated - w
From: Tony Coyle
Date: Thu, 28 Jan 1999 17:40:00 GMT

Nice reply and good advice. WalMart 10 years ago managed to change and attack it's US competitors via investment in just-in-time ordering systems. Doesn't take brain surgery to realise the marketplace is shifting again, if WalMart are smart they will change again. Bet they do.

Tony Coyle, APL Digital.

> These companies,, (Toys r' us, WalMart, KMart, Sears, etc...) can't afford
> to go on the web, and can't afford to have people shop online. Why? If they
> do, they canibalize (forgive the spelling) their own stores. These stores
> have millions upon millions upon millions of dollars invested in stores,
> people, parking lots, bricks, mortar, etc... If they start selling on the
> web full force, they eat into what they've spent so much money to build.

You're not wrong, and it's one of the major problems with both the mind set
of companies who 'want to be on the Web' and the consultants that they bring in to advice them.

The basic, unpalatable truth is that their business is going to be eaten by
online stores, and if that's going to happen you might as well eat your own
sales, rather than have a competitor eat them for you. It's all a question
of timing.
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