Maybe, but I suppose it depends on whether you hold a defensible competitive advantage. For example, accounting software company Xero has a differentiated product that is developed in house and switching costs are high for customers. Therefore, it makes a lot of sense for Xero to invest heavily upfront at the expense of profits to win market share because these attributes means it enjoys high gross margins (+75%) and significant pricing power so high returns are likely further down the track.
Whilst there may also be switching costs for BPF's customers, unlike Xero it has high variable costs so returns are much lower and grabbing market share at any cost makes less sense. Most of its revenue gets passed to Amazon and anything that remains needs to fund costly sales/support staff. Also, I would imagine that BPF isn't really in a position to increase prices as customers can always find another Amazon reseller to buy from and it may not be allowed under their agreement with Amazon in any case.
I suppose that there are still potentially scale advantages to be had for BPF as its bargaining position with suppliers may improve if it gets big enough and there is some fixed cost element but imo the benefits of chasing market share are much less than in the case of Xero. Just my take on it - I'm often wrong.
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