The executive director of American Authors Guid, Paul Aiken atates that after giving consent to publisher Macmillan for his independent pricing for Kindle e-book, Amazon again carries out cooperation with the other five publishers on new contract terms. It is expected to offer more pricing rights and shares for those publishers.You See,
thomas sabo Run the Fashion Trend of LondonAmazon states this week that it agrees with McMilan on selling Kindle e-book at a maximum price of $14. Protect links of london charms on International Family Day99. Do You Have thomas sabo ? Stars Are Crazy about It Very Much! Amazon used to price Kind E-books at 9.99 US dollars, hoping to attract more Kindle users by low price. Collins Stewart with an investment bank contends that Amazon’s concession to Macmillan makes Kindle more fragile to attack from its rivals. Aiken says, “at least five publishers will sign similar agreement with Amazon. And other publishers will also follow suit, or else it will be deemed as an irresponsible behavior.” Amazon delares this week that they don't want to see other big publishers put forward the same requirements as McMillan. The spokesperson refuses to comment further. Comment isn’t available from Pearson PLC-affiliated Penguin, Bertelsmann-affiliated Random House, News Corporation-affiliated HarperCollins, CBS-affiliated Simon & Schuster, Hachette Book Group and Macmillan either. The agreement between McMillan and Amazon was signed last Wednesfay when Apple released iPad Tablet PC. iPad can provide a brand-new e-book platform for pulishers. Apple will also launch its own numerical bookshop and apply the same mode as iPhone appliance shop.
It is revealed by certain well-informed that Apple will allow the publishers to make price independently and provide 70% sharing for them Aiken says it’s a good news to publishers who used to worry that Amazon attempts to keep low of price in advantage of dominant role of Kindle in the market. He still says that the prices Amazon pays to publishers range from 12 to 13 US dollars.Therefore, Amazon is actually losing money by keeping the price of Kindle books at 9.99 US dollars. Publishers worry that Amazon will demand even lower retailing prices. He says, “no one thinks Amazon will stand the loss any longer.” Imran Khan, an analyst with Morgan Stanley holds that the price hike of Macmillan isn’t likely to depress demand or deal a blow to Amazon’s sales. 30% reduction of e-book sales volume can lead to less income for Amazon. According to Khan, bestsellers will not be the principal channel for Amazon to make profit. Through recommending system, Amazon can make profit by using old or not so popular books. The revenue rate from e-book and Kindle electronic reader will not exceed 3% in the general income of Amazon.
Kaufman BrosKaufman Bros and analysis Aaron Kessler from investment bank think that high sales price will probably do favor to small scale retailers, for they can not compete with Amazon. Amazon can reduce sales price mainly because it can reduce cost by huge sales volume. Amazon will lose some of its advantages if it fails to popularize low-price e-books. Last weekend, Amazon stoped to sell all books from McMillan to express "serious protest". McMillan once threatened Amazon to put off the publication of e-book if it didn't raise the price. This agreement will imitate the one between Apple and publishers. A source says on anonymity that publishers can set the price for E-books independently in a certain boundary. And most best-sellers are priced at 12.99 US dollars.
Apple’s spokesman, Colin Smith says, “we are not yet declare the prince of iBook, but more detailed information will be provided before iPad going on sale at late March.” On January 20th, Amazon declared a new e-book plan, providing 70% sharing for authos and publishers. According to the agreement, the sales price of e-book can not exceed $9.99 and it must be at least 20% lower than printing books. However, Apple offers looser pricing policy for publishers. Khan says: even if all the publishers raise the price for bestsellers, we don't think it will have negative influence on Amazon. Morever, it is still full of doubts about the final situation.