Amazon.com, Inc. (NASDAQ:AMZN) rises to the top as a force to reckon with in terms of book sales. It goes without saying that the company is by far the most important company in terms of the book business. CNBC’S David Faber in an interview pointed out that Amazon controls approximately a third of the book business making it the biggest player.
Amazon.com, Inc. (NASDAQ:AMZN) growth to becoming the biggest book seller company has seen it fall prey of scrutiny from regulators, as well as, causing headaches to many publishers. Having done a number of documentaries on the practices of Wal-Mart Stores, Inc. (NYSE:WMT), Faber has also carried out a documentary on Amazon, which showed that the company might have become big at the expense of publishers.
Mr. Faber noted that the company is at crossroads with some publishers on its plan to reduce prices of some of the books.
“By the way, they are still looking to bring prices down for books, that is why they are in the cross hairs right now, in a dispute with Hachette”
Mr. Faber has also discussed with Mr. Randy Miller, a former executive at the company says that the company has for some time been trying to press its advantage. It is being reported that Amazon has been bullying publishers without any apologies. Mr. Randy Miller said: “There were lots of concerns in publishing as we got bigger, other sellers got smaller.”
Amazon.com, Inc. (NASDAQ:AMZN) when smaller is reported to have had powers in controlling the sale of books in its online platform. Faber reports that when some publishers failed to agree on discounts of books, Miller buried their titles on the website so that buyers could not find them easily; this move is reported to have caused some books to plummet in terms of sales as well as rankings.
Amazon.com, Inc. (NASDAQ:AMZN) powers in the publishing industry have grown over the years, seen by its recent tussle with Hachette. Amazon pressing advantage over publishers according Randy Miller is the company’s number two rule in its handbook.