Quote:
Originally Posted by stonetools
The reason why Amazon can out compete BN and other retailers comes down to one thing: Amazon can afford to lose money on sales of ebook bestsellers because of other revenue streams, and BN and other retailers can't. Everything else, is in the words of Penn Juliette, BULLS**T!
What it means is that any "discount scheme", "loyalty program", "new workflow", or what not that BN can come up with , Amazon can match or exceed it. Because Amazon has a logistical advantage in unrestricted price competition, there is really going to by only one result in an ebook market with permits that: domination by Amazon-which is bad news for Amazon ebook suppliers (whether they be BPHs or authors, btw).
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Diversification has its advantages. Let the price wars begin.