You will find this information in other threads -- hopefully someone will repost it. However the cost per book approach overlooks quite a bit.
For example:
- time reading through he slush pile and rejecting books to find a good book
- Risk offset: some percent of books will lose money. This means that successful books will need to pay for costs of unsuccessful ones.
- Admin overhead: negotiating contracts with writers
- other overhead: how much time does. Toni and other Baen employees spend "marketing" by participating in message boards and at cons?
I don't know the business, and this is just off the top of my ahead, but the point is that corporate costs are significantly higher than justnthe cost of producing a unit.
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