Online Mega Retailers-A Shopping Season PreviewOctober 30, 2018 2:31 am Leave your thoughts
ONLINE MEGA RETAILERS
As we near the holiday season, I thought that this would be a good time to preview some online megaretailers. Conversely, after the holiday season, I will also review who did well, who not so well, and explore what that could spell among retailers industry-wide.
Alibaba Holdings (BABA), China’s largest e-commerce business, has taken a hit this year. Most are blaming its lower stock prices on the ongoing Sino-US trade war. Investors expect many exports to become more expensive which will hit sales. Globally, Alibaba and Amazon are the biggest players. However, Alibaba is getting a bit of a reprieve from domestic competition due to new regulations slowing growth at Tencent (OTCPK:TCEHY). Although Tencent is a big gaming business, the parent company is funding companies that are direct competitors of Alibaba. Seeking Alpha
Amazon has experienced some market loss this year as well, notwithstanding last week’s large market contraction, company shares are “…down 23% in the past month.” CNBC Some analysts believe the quick losses in the tech market are: (1) short-lived, (2) the market overreacted, and that (3) Fed policy will continue undeterred with graduated rate hikes.
Amazon and major retailers are going to go head-to-head again with Black Friday and Cyber Monday prices and shipping incentives. Forbes Let’s be honest. Everyone wants to know if there will be better deals than last year Although Amazon is well known for consumer goods, it’s digital advertising business is multiplying as it aims for Facebook and Google market share. No shipping delays or items out-of-stock there! Even if it must take hits to margins on the consumer products side, they seem to manage multiple growth targets exceptionally well. Although many brick-and-mortar stores have lost their luster, Target, Best Buy, and Walmart are all fair game for ‘A to Z.’Tags: alibaba, amazon, black friday, cyber monday, tencent
Categorised in: Financial Markets
This post was written by Daniel Jones