Weber On Amazon Pricing Policies – Anticompetitive?

June 4, 2010 by Chuck | 0 Comments

Bookselling expert Steve Weber writes about Amazon’s “Price Parity” policy. Frankly I didn’t know this … but it might be a way to save money on purchases by buying directly if you trust the merchant. Personally, I go through Amazon.com for the guarantee.

Many booksellers add 15 percent to their regular prices when selling on Marketplace, to account for Amazon’s fees. But the company wants to outlaw this.

In a letter by the Independent Online Booksellers Association, the policy is described as “dangerously anti-competitive, designed to use [Amazon's] market dominance to undermine smaller competitors and independent booksellers, and will inevitably lead to a worse deal for book buyers. The costs for booksellers selling via Amazon are greater than selling from their own sites or aggregators such as Alibris and Biblio, and Amazon wants to prevent those costs from being reflected in the price, the IOBA says.

Read the whole article: here

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