It's official, Walmart just tossed away $3.3 billion to buy jet.com

Another worthless attempt by an old school company buying a 1 year old company they believe is going to help them step up big into the online market place to compete with Amazon.... This is just another joke of an acquisition..... Jet.com is nothing more than another e-commerce site, nothing game changing about it...the only winners in this acquisition are the original investors and the owner who created this company, Walmart could have done a lot more with $3.3 billion else where.....
Jet.com had ZERO profits and was throwing away tens if millions of dollars a month in advertising... Way to go Walmart on a foolish, worthless decision to buy this company.

http://www.cnbc.com/2016/08/08/wal-mart-to-by-jetcom-in-3-billion-deal.html

 

They could have delivered from their existing stores in 30 minutes for a lot less.

 

I actually think it is not a bad idea for WMT to buy. Even if AMZN is a bubble, it might elevate some of that bubble to WMT, and then WMT can sell stock cheaply. The trade WMT is making is that the stock will rise eventually by more than $3.3bn due to this news. Also, WMT is acquiring employees, which are costly to hire -- there are headhunter fees etc.

 

Acquiring employees? What kind of employees? The ones packing the shipments in the distribution centers making just above minimum wage?

 

Exactly......this is a failure....$3.3 billion could have gone to so many other uses.

 

Time is money. This cut WAl-Mart in setting up something from scratch

 

They would have done better buying shares of competitor groceries. Except for Southwest, does any of them make profit? Anyone still remember the outfits the stewardesses wore in the 80s?

http://www.chicagotribune.com/business/chi-history-stewardesses-flight-attendants-201-010-photo.html

Long ago I worked second job part time at airport renting cars for Dollar Rental for Christmas money, but I loved watching the girls walk by, highlight of working there....

 

To be honest, I can't understand what Walmart expects? Do they think that its online sales will be greatly improved immediately?

 

I am going to assume that they spent the money to buy the system they were using and not the company. They must have seen something in their e-commerce business plan or software that they thought was unique and determined that it was cheaper to buy the company than reinvent the wheel and potentially worry about patent infringement.

WM has revenues of 500BN a year. 3.3 BN is a lot of money, but not to WM if you think of all the stores they have around the world.

Anyhow, I am assuming that is why they did it.

http://www.statisticbrain.com/wal-mart-company-statistics/

 

No bot. No.