Biggest non surprise? JSA was wrong as per usual.

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Proud member of the MSF (Maple Syrup Mafia)

I’m throwing my bet in right now: Boston

Toronto's housing costs pretty much precludes any move there. Amazon Canada's warehousing is pretty scattered, poorly coordinated and has to be costing them piles extra shipping. Eg. I ordered 7 grocery items last week, the order was fulfilled from 3 different warehouses. That, IMO is pretty bad supply chain management.

They're about to open two more: one in Calgary and the other in Cornwall. Prime in Calgary/Edmonton and Ottawa/Montreal is about to get a whole lot better.

Amazon is known for a lot of things. Bad supply chain management isn't one of them. I hope to all hell if they come to Atlanta, it better be on the south side. Like close to Macon south side.

That maybe, but IMO good supply chain means holding good inventory levels all the time. Looks to me like someone isn't grasping the geographic challenges of the Canadian market. (fwiw all the items I purchased were their top 100 list of grocery items)

Word is they are negotiating for a 500,000 sq foot space in the Seaport District, with an option for another 500,000 sq feet.

Look, I'm not going to debate you about Amazon's command of supply chain. They are putting incredibly large and previously profitable companies out of business because of their SCM. And there is no stopping that in the near term. But you're right, they probably have no clue about the geographic challenges of the Canadian market.

Well, tbh Amazon maybe killing business in the US, but the failure of Sears Canada for example was because of Sears Canada. Amazon's business model isn't new, it's ability to capitalize on new market conditions isn't new, Sears inability to adapt isn't new, the only thing that is new is the scale and I'm not even sure of that.

I think I read the article right, it amounts to $100 per year per employee. A company is going to move over $100 an employee????

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Just Triing
Triathlete since 9:56:39 AM EST Aug 20, 2006.
Be kind English is my 2nd language. My primary language is Dave it's a unique evolution of English.

Good supply chain management does not always include carrying a bunch of inventory. That is a good way to go belly up if you get in a cash pinch and have a bunch of money tied up in inventory.

Plus, the product may have been “fulfilled by Amazon” and shipped from any number of sub-suppliers.

drn92

except for the lack of massive profits.
they have a cool gimmick for "free cash flow", but in their case it really is a gimmick and doesn't correspond to the profits you would expect with free cash flow numbers like they have.

Spoke to a friend about this, same one I actually mentioned earlier in the thread. He picked Pittsburg, its becoming a tech hub and that city has the most to offer, including an airport that isn't being used to capacity. I wouldn't be against him.

As a Seattle resident, I am delighted to see them moving some of their business out town. It will put less pressure on infrastructure and home prices. I don't see them leaving entirely, given the skilled labor they need.

Good supply chain means holding minimal inventory levels at all times. The whole point of a good supply chain is to make someone else hold your inventory. I have to believe Amazon owns very little of its own inventory and puts it at warehouses closest to the biggest users.

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TEAM HD
Each day is what you make of it so make it the best day possible.

Market domination is a "cool gimmick?" Amazon is scary. The only thing standing in their way from owning the the entire planet is...Walmart.

Amazon likes to re-invest revenue into growth instead of feeding it back to shareholders. That's not a gimmick. And, so far, shareholders have exactly zero reason to complain about that. It's still growing like crazy despite being a 20-something year-old company.

Ha. I wish the distributors in my industry believed this. They sit on so much tertiary inventory dollars that could be put to many better uses.

drn92

Let me give you some, advice. It is a gimmick.

Amazon has already grown to what, the third largest company in the world? Let's look at some actual numbers:

Cash position
Apple #1 - $261 billion
Google #2 - $133 billion
Amazon #13 - $24 billion

2016 profits
Apple #1 $45.7 billion
Google #5 $19.5 billion
Amazon ? $2.3 billion


By these numbers, Amazon isn't even remotely comparable to Apple or Google. If Amazon could double their profits every year for the next 4 years they still would be behind Apple. Think about that. Look at the Amazon share price, even the P/EG and think about "investing" in Amazon.

automotive hold hours, stock turns in the hundreds per year

mini in UK have less than 4 hour call off contracts

large inventory makes zero sense, consignment may make some sense but the real trick is hold nothing and have someone else eat it

Which in general is the person who can least afford It but must in order to keep the business.

The goal for us is to be running out of product just as the next manufacturing lot finishes.

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TEAM HD
Each day is what you make of it so make it the best day possible.

If a supplier is consistently short of stock or has to order fulfill from a depot that takes longer to deliver, I find a better supplier. I supply to 3 industries that when things break or are in production the clock is ticking. This precisely why I think Acklands-Grainger won't be around much more than another 5 years in Western Canada.

Questions re: Pittsburgh, just devils advocate:
--Carnegie Mellon would be a huge draw obviously, what other top universities (especially with legit CS programs) are in that region?
--I can't imagine they have any international shipping ports in Western PA...anyone know if having easy access to ports is a consideration?
--What's their public transit system like? I know that's a priority for Amazon

I've been to Pittsburgh once, when I visited CM in HS and honestly, if I hadn't visited the city I probably would have gone there...it felt like the campus was a stones throw from some shitty neighborhoods and the city just looked like shit to me. But that was 20 years ago and I have no idea what's happened there, good bad or otherwise, since then.

I've heard Seaport - and with everythign else going on there I don't know HOW you fit in a bohemith like Amazon, they'd have to totally reconfigure public transit to make it work at a minimum. I've heard Suffolk Downs, which makes all kinds of sense given proximity to the airport and downtown but they'd have to do something about highway access I'd think (though admittedly I never drive through that area), and really the surrounding neighborhoods aren't exactly the best in the city so that might be a big drawback. And just recently I heard Somerville for the first time, I have NO idea where, I'm actually interested to hear because that town is so packed in as it is and the public transit is shaky at best.

I'm cautiously optimistic, regardless...given my profession and where I live (495 loop) it'd be a fantastic boost to compeittion in my industry and housing prices, without any impact to my neighborhood/commute...win/win!

I'm North of Pittsburgh and it has changed dramatically in 20 years. However, there are still shitty neighborhoods just a stone's throw away from many good areas but there has been a substantial amount of work to improve the city. But there are shitty neighborhoods just a stone's throw away from good ones everywhere in the world. In regards to public transportation, it's just ok, mostly buses. However, as someone said earlier, the airport has a huge amount of space available and they have been continuing with upgrades.

I like Pittsburgh and my wife and I go there for weekends often. Their restaurants and theatres are improving as well as the refurbished and new hotels. Downtown is easy to get around and many areas are within walking distance so the public transportation downtown isn't really a big deal.

The biggest downfall in Pittsburgh is the traffic can be a pain in the ass. With so many bridges and tunnels, it gets tied up pretty good at times.

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TEAM HD
Each day is what you make of it so make it the best day possible.

U of Pittsburgh, Penn State isn't far, Cleveland isn't far either. Not sure how good duquesne university is, just know their basketball team sucks.
No idea on the public transit system.
Also not sure on the shipping ports either, but the underutilized airport may compensate for that.