Stock Watch: Amazon Falls as Bezos Defends Strategy

Amazon.com (Nasdaq: AMZN) continued to slide Monday, falling 1 1/2 to 30 1/16 following reports that chief executive officer Jeff Bezos said he plans to continue the company’s diversification strategy despite analyst concerns.

Bezos said in published reports that the company will continue to enter new businesses through partnerships like a new photo venture with Ofoto, Inc. Amazon has moved far beyond its book-and-music roots, and now offers items including electronics, toys, hardware and cars. Analysts have questioned the strategy, saying the company will find it hard to focus on profitability as it expands.

The belief put forward by some analysts that Amazon’s business model is flawed is not a correct view, Bezos told reporters.

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