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Amazon are being perfectly reasonable, every large retailers operates in a similar fashion. Retailers try to get the lowest prices from their suppliers, and cha
by ig1 17y ago
Amazon are being perfectly reasonable, every large retailers operates in a similar fashion. Retailers try to get the lowest prices from their suppliers, and charge the highest price to their customers. It's how the retail industry works. Cutting a relationship with a supplier isn't an uncommon negotiation tactic.
You could argue that in this case Amazon are abusing a monopoly, but they're nowhere near a monopoly position. Their income from book sales in North America is only $6 billion (B&N at $5 billion, Borders at $3 billion).
Even if Amazon did have a monopoly, Macmillan can still sell their books directly on Amazon via Amazon marketplace at whatever price they choose. I don't think there's any ethical question for Amazon to answer here at all, this is just business.