Thread: Pricing sucks!
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Old 12-04-2011, 10:36 AM   #78
HarryT
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Quote:
Originally Posted by Prestidigitweeze View Post
This is not meant pejoratively, but you seem to be conflating personal value with what has traditionally determined costs before the shell-game of intellectual property: Production. The reason an eBook should always, always be cheaper is because they cost nothing to produce.
Other than the fact the you appear to believe that server farms cost nothing to run (a false assumption), there are other factors that you are failing to take into account, such as the fact that, within the EU, eBooks have, by law, to be subject to the standard rate of VAT for each country, whereas paper books can be discounted. Thus, in the UK, for example, paper books are zero rated for VAT, whereas eBooks are subject to VAT at 20%. When an eBook is priced the same as a paper book in the UK it is actually only 83% of the price, as far as the underlying cost is concerned.
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