Publishers Are Still Missing the Boat on E-book Prices

When the major book publishers signed an agreement with Apple that allowed them to control the prices of their e-books—unlike the deal they had with Amazon, which gave the online retailer the right to cut prices if it wished—they probably thought they had won a major battle. But as a Wall Street Journal story points out, they are still shooting themselves in the foot when it comes to e-book prices, by keeping them artificially high in an attempt to shore up their profit margins and protect their existing print business. In the long run, that pricing model could wind up doing far more damage than the model it replaced.

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