Lower Prices Are Harmful to Consumers and Must Be Stopped
Thursday, October 22, 2009Last week I posted a blog about the book price wars between WalMart and Amazon.com. Well, I didn’t have to wait too long before what I knew was coming actually happened. From the Dallas News:
The American Booksellers Association on Thursday asked the U.S. Justice Department to investigate online book price wars underway by Amazon.com, Wal-Mart and Target.
In a letter from the 109-year-old trade organization representing independent booksellers, the ABA’s board told antitrust officials that the discounted pre-sales of hardback bestsellers for $9, “constitute illegal predatory pricing that is damaging to the book industry and harmful to consumers.”
The American Booksellers Association stated, in a letter, that WalMart and Amazon are devaluing the very concept of the book. It also stated that “extremely discounted best-sellers take the consumer’s attention away from emerging writers.” Thanks goodness for those powerful lobbies that protect their industry profits protect the consumer. As I wrote back in 2002, consumers tend to be scared off by lower prices. Thanks to Daniel for the link.
Jeannie Queenie says:
October 22nd, 2009 at 5:49 pm
ELEMENTARY ECONOMICS 101= COMPETITION LOWERS PRICES….SO WHY DO THESE UNINTELLIGENT NEANDERTHALS BELIEVE THAT A FIXED PRICE MEANS HIGHER SALES? Geez, wouldn’t it be just awful if more than 10% of Americans picked up a hard covered book and read it from stem to stern…and then went out and bought even more books as soon as they wisely deduced that you can never stop learning? How terrible for the economy and book binders would it be to have to keep running those presses to feed hungry minds searching for the truth! One cannot help but wonder if the American Booksellers Association are under the sheets with american liberal loony professors that profess their hatred for the american way..sounds like it to me!
Bob Roddis says:
October 22nd, 2009 at 5:56 pm
The anti-trusters are on the march. A company called American Needle lost its NFL hat contract and has sued the NFL. It seems to me that what keeps American Needle from making hats is IP law, which the Washington Post just happens to love.
cousin lucky says:
October 22nd, 2009 at 7:37 pm
The American Booksellers Association must really hate some websites that offer downloads of boos for free. My first book download was ” Letter’s to Jessica ” which I printed up. Reading it was like being taken out of the Matrix.
It still amazes me how deeply the brainwashing and indoctrination of ” public schooling ” and early television used to warp my perceptions!!
Competition brings lower prices which are good for consumers but bad for the corporations monopolies.
Sonic Ninja Kitty says:
October 22nd, 2009 at 8:36 pm
That is absolutely the funniest and bizarrest thing I’ve read all week! (PS–I really enjoy your blog.)
indie book store lover says:
October 23rd, 2009 at 2:10 am
I thought the following is a welcome dose of business-sense sanity. While established authorities are tripping over themselves in protest, others are seeing opportunity:
http://news.shelf-awareness.com/ar/theshelf/2009-10-21/opportunities_in_the_price_wars.html
liberranter says:
October 23rd, 2009 at 2:25 pm
The American Booksellers Association is a cousin of the Recording Industry Association of Amerika (RIAA). Both are cartels based on obsolete business models, are incapable of adapting to technological changes, and require armies of lawyers and the purchased muscle of the State to keep themselves in business. This article by Gary North posted on LewRockwell.com three years ago brilliantly describes and predicts the future of any such organization.