Amazon vs. Publishers
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Transcript of Amazon vs. Publishers
J O S H M I L L E RA D A M O .
AMAZON VS. PUBLISHERS
THE SITUATION
Amazon• Amazon wants to decrease
inventory on hand by using printing on demand.
• In 2005, Amazon acquired on-demand provider, BookSurge and began offering publishers the option of printing-on demand copies when physical volumes of a book sell out.
http://www.youtube.com/watch?v=i6H7nfHjHtY
SUPPLIER / BUYING POWER CONFLICT
• Amazon switches to printing on demand• Buying Power increases:• It allows amazon to
purchase less and print more.
• Publishers - Supply power decreases.• Less power because
amazon has the right’s to print without them.
PUBLISHER RESPONDS
• Publishers:• Investing:• Supply chains• Storing books in
warehouses• Develop transportation
infrastructure to compete.
Question: What are some other ways publishers could respond to amazon’s attempt to control the market?
ESPRESSO BOOK MACHINE
• Manufactured by Xerox – Created in 2003• Created by On Demand
Books• ATM-Like machine to
create hard-to-find books.• http://
www.youtube.com/watch?v=Q946sfGLxm4
QUESTIONS
• Who likes to read from tangible books in comparison to e-text/books?• Do you believe the entire population will
eventually switch over to E-books?• Do you think it is a smart move for publishers to
attempt to compete against amazons distribution capabilities or to simply give in and accept the terms amazon has purposed to them?
SOURCES
• http://www.youtube.com/watch?v=i6H7nfHjHtY• http://
i.cnn.net/money/magazines/fsb/fsb_archive/2006/12/01/8395114/book_atm.03.jpg• http://
images.fastcompany.com/upload/amazonukbig.jpg• http://
www.businessweek.com/printer/articles/22358-amazon-vs-dot-publishers-the-book-battle-continues