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Technology Stocks : Amazon.com, Inc. (AMZN)
AMZN 227.90+0.4%Dec 9 3:59 PM EST

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To: Randy Ellingson who wrote (57596)5/20/1999 6:35:00 PM
From: Rob S.  Read Replies (1) of 164684
 
At 50% off they are pretty close to being at cost. I doubt publishers are that eager to discount books that make the best-sellers list aggressively. Amazon makes about 21% gross margin on stuff they discount 25% - so it figures that they are at zero contribution at 50% off. This is clearly a "loss-leader" sales strategy.
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