On 11 November 2010 22:23, Tyler J. Wagner <ty...@tolaris.com> wrote:
> On Thu, 2010-11-11 at 21:12 +0000, Bruno Girin wrote:
>> For a publisher, the traditional business model is based on acquiring
>> the rights to reproduce a text, producing physical items out of this
>> text, shifting those books to distributors and selling the physical
>> objects.
>>
>>  Most of the cost is in the distribution ...
>
> Incorrect. Most of the cost is in the non-physical stuff: editing,
> typesetting, marketing, and other forms of production.
>

I think that in fact the relative costs to the publisher of paper
books versus e-books is pretty much irrelevant.  The _price_ that a
product is marketed at is only loosely related to the _cost_ of
production and distribution.  A supplier will always attempt  to set
the price of a product so as to maximise his total profit.  In the
case of e-books this is a particularly difficult calculation as he
must make sure that in shifting buyers from paper to e there is not a
reduction in profit.

Colin

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