Black Friday and Online Shopping

Zoe’s blog, Fight on Black Friday? Go online this time, discussed the various tactics that online retailing giants such as Amazon and eBay are employing to attract customers on the upcoming Black Friday.

Amazon’s newly opened Black Friday Deals store will definitely become an attractive shopping destination. After all, customers are always looking for low prices, items to be in-stock, and a convenient shopping experience, all of which the new store promises to satisfy. However, despite this favorable outlook, there is also the risk that the store’s sales will come from Amazon’s existing market share, a sad possibility indeed.

On the other hand, eBay’s holiday “pop-ups” seem like a better idea. Not only will it be a fun experience for established eBay customers who already shop online, but it will also provide a great opportunity to advertise and attract customers who usually go to malls for purchases and just happen to pass by one of the many “pop-ups.”

In my opinion, there is a dire need for both Amazon and eBay to work on expanding the market base for online retailing as there are only 5% of U.S. consumers who shop online, a rather small percentage.

“Cash for Clunkers”

Brantford’s blog entry, Dealing with Climate Change…Ineffectively, offered some unique insights on “Cash for Clunkers,” a federal program that seeks to reduce CO2 emission.

The following paragraph is my first impression regarding similar programs. As people become more environmentally conscious, there is an increasing pressure on the government to set up more public initiatives that aim at environmental sustainability.  As a result, programs like “Cash for Clunkers” are created and implemented to satisfy this new popular demand.

However, two points that Brantford brought up changed my opinion. The first is the effectiveness of such a program. As he quoted from Economist Jeffrey Sachs, the net reduction cost of CO2, according to Sachs’ rough calculation, is approximately $141 per ton. Looking from an economic perspective, this seems rather inefficient as cars are smashed up five years before their natural demise. In general, subsidized programs are not the best way to counter climate change. Then, Brantford in his final discussion talked about another very interesting point that the main intention of the program was actually to stimulate automotive sales while putting safer and cleaner cars on the road, a purpose that “Cash for Clunkers” definitely succeeded in fulfilling.