Amazon.com Inc.

Amazon.com Inc. (NASDAQ:AMZN) Enters India

Date Published: 7-26-2016

Author: Ophir Gottlieb

BREAKING
Amazon.com Inc. (NASDAQ:AMZN) reported today that its Prime membership has launched in India in over 100 cities. The huge potential has been understated by the mainstream media.

STORY
Amazon.com Inc. has seen growth in revenue unlike almost any company in the history of financial markets. Here's a revenue chart going back to 2000.

While that growth seems impossible to continue, it turns out the move into India for Amazon.com Inc. has huge potential, and here's why.

INDIA: HUGE POTENTIAL
India has over 400 million Internet users as of 2015, making it the world's second largest market to China. That reality is the baby step into the huge potential India has for Amazon.com Inc. with respect to e-commerce. Here's a great chart from our friends at Statista.

We can see the huge potential from India where e-commerce will grow from just $14 billion in 2015 to nearly $70 billion in just four years. The Amazon.com Inc. (NASDAQ:AMZN) Prime membership platform has been one of the most remarkable influencers on consumer spending the world has ever seen. Here’s' what Robbie Schwietzer, vice-president of Amazon Prime said way back in 2010:

“
In all my years here, I don't remember anything that has been as successful at getting customers to shop in new product lines.

”

Source: Time

The Amazon.com Inc. Prime membership has been the most powerful influencer of consumer behavior the world has ever seen, to the point where Amazon.com Inc. actually impacts U.S. GDP through consumer discretionary spending. And, while U.S. e-commerce is seen building to a whopping half a trillion dollars by 2020 with Amazon.com Inc. growing ever more dominant, the potential from India is huge as a diversifier of risk.

The bottom line is that why this little tidbit floated by the mainstream media in a press release, it is not a little tidbit -- it is an enormous beginning for Amazon.com Inc. to enter India with huge potential to further cover the globe with its dominant position as the end-all be-all in Internet commerce.

The Amazon.com Inc. cloud business gets all of the attention, but that's just a $10 billion business. E-commerce is a $100 billion business for Amazon.com Inc. and now India is in play.

WHY THIS MATTERS
There's a revolution happening right in front of our eyes so powerful that it will change the entire technological landscape. It is the single most important avenue for Google, Facebook, Apple, Disney, Twitter and even Snapchat and there's one small tech company leading the way.

But here's the thing, over 85% of the stock is already owned by institutional and mutual fund owners in the know. Now it's time for everyone else to know, too. You can read more here: The small cap technology marvel leading the next wave of innovation.