Quote:
Originally Posted by darryl
The Appeals Court in the Price Fixing case against Apple quoted the District Court finding:
Amazon's market share in fact dropped to 60% when retail price competition was removed by the price fixing conspiracy. It dropped not because of competition but because of the lack of it!
When agency entered its short hiatus following the demise of the conspiracy, Amazon did not re-introduce its loss leading strategy on Big 5 ebooks but instead allowed the Big 5 to be hoist on their own petards. Yet Amazon still managed to recover much of its market share of ebooks. I believe the reason is that the Indie ebook market had by that stage grown to the extent that Amazon were no longer so dependant on Big 5 ebooks. Personally I used to spend quite a bit on Big 5 books before agency, and have Agency to thank for leading me to take a close look at Indies. I have not purchased a Big 5 book since. Anecdotally I am far from alone, and I suspect that agency pricing lost the Big 5 many avid and prolific readers.
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It dropped because Apple and B&N entered the market giving Amazon some competition. Before that, the only competition was from the Sony Store.
Keep in mind that just because some judge buys into someone's narrative, doesn't make it true, it's just means that the judge bought the narrative.