Quote:
Originally Posted by fjtorres
If Amazon undercut's *everybody's* prices because they make their money elsewhere, which elsewhere are their *slim* profits coming from?
Could it be simply that their *costs* are lower because they are a lean organization?
Or the fact that other people pay for their servers and IT facilities...
Or the fact that their fulfillment warehouses are heavily automated and roboticized...
Or the fact that the salaries they pay are on the low side...
Or the fact that the would sooner buy a company for its tech than license somebody else's, or for its market share than fight to the death with them...
Or because they are willing to bend backwards on customer service, thereby generating some pretty fierce customer loyalty?
Amazon is a highly competitive company built to compete. They're not the first nor the only one out there. There is nothing magical or insidious about them. They can be matched and they can be beaten. (Here: http://www.msnbc.msn.com/id/39633906...y-its-diapers/)
But not by whining. |
Cool. What you actually said though was that they were different from other middle men that they were competing with in the publishing industry. The reality is that their publishing model is designed to make less money because they're making it elsewhere.. as middle men. They're a retailer. If your interest is to support low-paying, automated, big box style outlets for your books, that's your prerogative.