Quote:
Originally Posted by tubemonkey
So what if some ebooks were sold below cost?! The public doesn't know that. All they know is that certain categories of paper books and ebooks are steeply discounted and that's the price they expect for future purchases. The below cost differentiation is a red herring and irrelevant to this discussion.
Maybe Amazon should try a different approach. They could let the publishers set retail prices for ebooks and then when a customer buys one, Amazon gives that customer a $3 to $5 credit in the Kindle store or at Amazon.com. That's the strategy retailers use when selling products from companies that won't allow discounts on certain items - iPads, gaming systems, etc.
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It has everything to do with the conversation. If Amazon sold ebooks like they sold hardcovers, wholesale cost + small profit, the publishers wouldn't have been so upset and colluded to establish agency pricing.
Amazon should have been more patient and build up their KDP selection with lower prices. Market these (and any cooperating pubs) heavily. This would price the Big 6 out of the market. Letting them voluntary reduce prices is preferable to forcing the issue.