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by PoignardAzur 1876 days ago
> I'm not intimately familiar with either side, but I see it as: - Costco buys x amount of product at y price from seller and then sells it in its store. - Amazon provides a platform for sellers to sell with a cut going back to Amazon.

This isn't really how it works. Retailers very often have arrangements to defer payments until after the product is sold.

In fact, in France, retail margins are so thin that supermarket chains reportedly make most of their profit by selling the inventory, investing the money in short-term funds, then paying the suppliers one month later and keeping the interest.

1 comments

With short term interest rates in the negative in France, I wonder what their business model is now...

https://data.oecd.org/interest/short-term-interest-rates.htm