Amazon does not decrease the prices it just removes your ebooks from their website forcing you to list the book at the price matching the other sellers discount. So Amazon does not have to match the price and take the loss on revenue.
As Amazon has largest market share taking your ebooks off Amazon or keeping them of is not feasible for any author.
Amazon is not the customer they are the sellers they are selling their services to the publishers and authors for % of sales so what they are doing is anticompetitive and wrong and they are abusing their market position against other ebook sellers.
You are giving a false example as the authors or publishers are supplying at the same price to Amazon or other sellers. What kind of margins Amazon is willing to take is up to them. Authors are not selling to them at different prices or selling to another supplier at a cheaper price.
And like I said in your hate against Authors and Publishers you are not getting the simple point that this is not about Amazon vs Publishers rather about Amazon vs Other sellers. Yes Amazon can ask for better prices from publishers because of its market share but it is anticompetitive to get in written in contract that other sellers cant sell cheaper than what Amazon is selling at.
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