Understanding Amazon - tax, pricing and monopoly

[It took most commentators a long time to realise that the US DoJ action against Apple was actually a victory for Amazon, and support for monopoly. Even the conspiracy aspect is very weak. But what condemns the DoJ most is the very powerful point made by Bill Petrocelli in the last link, below. Meanwhile it is to mea disgrace thatthe UK placed a tax on ebooks, since the freedom for print works is about 'No tax on knowledge', and important support for free speech.]

E-book Vat Needs To Be Aligned With Physical Books
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Euro book chiefs emphasize the need for e-book VAT to be aligned with physical books
http://www.booktrade.info/i.php/27414-41532
http://thenextweb.com/media/2012/06/26/euro-book-chiefs-emphasize-the-need-for-e-book-vat-to-be-aligned-with-physical-books/
'...Just to recap, Amazon's decision to establish its European HQ in Luxembourg .... that it was slashing value-added tax (VAT) on e-books from 15% to 3%, ....At present, tax isn't applicable to physical-format books in the UK, but the country's current VAT rate of 20% does apply to e-books. ...'

Authors Guild Sees Return of Predatory Pricing if DoJ Deal Stands
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Minces no words in saying that the agreement would be a huge victory for Amazon
http://www.booktrade.info/i.php/27414-41540
http://www.publishersweekly.com/pw/by-topic/industry-news/publisher-news/article/52787-authors-guild-sees-return-of-predatory-pricing-if-doj-deal-stands.html
'..."The Guild does not support the DOJ's proposed e-book settlement. We believe it will allow Amazon to resume its predatory pricing practices, discouraging competition in the e-book marketplace," ...'

Amazon: Why Help The Monopolist?
http://www.booktrade.info/i.php/27414-41524
'...US Bookstore owner, Bill Petrocelli, wrote to the DoJ commenting that: "the publishing business has been rife with predatory, anti-competitive practices that have been extremely harmful to booksellers, small publishers, authors, and readers alike. Most of these unfair practices have been documented in independent studies, newspaper articles, private litigation, and even examinations by government investigators. All of this information has been made available to the DOJ and to its sister agency, the Federal Trade Commission, but no action has ever been taken by either agency to put a stop to such practices." 
Now the Justice Department has taken steps, he continued, "but, shockingly, it has not acted to protect competition in the book business. Rather, it has stepped in to facilitate the aggressive tactics of the worst monopolist the book business has ever faced... Amazon.com."...'

http://www.shelf-awareness.com/issue.html?issue=1770#m16606





Joseph Harris 

[Non-text portions of this message have been removed]



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