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Old 07-24-2012, 11:41 AM   #16
Top100EbooksRank
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Posts: 304
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Join Date: Mar 2012
Device: Kindle
Quote:
Originally Posted by stonetools View Post
Lets be blunt. The purpose of the agency model is to ensure that the publisher, not the retailer, sets the final price. By taking that way, the DOJ is in fact pushing the publishers back to the wholesale model, at least for the next two years. They are disingenuous in suggesting that they are not dictating a business model. In effect, they are, regardless of the formal wording.
Publishers can set the price at $14.99 or $12.99 and take their 70% cut under agency pricing.


Why should the publishers care what the "agents" do with their 30% commission?

(if B&N and Apple want to pass some of this "commission" as discount to consumers, shouldn't publishers be glad? since lower prices = more sales?)
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