Book price war

Book price war - Wal-Mart Strafes Amazon in Book War By MIGUEL BUSTILLO and JEFFREY A TRACHTENBERG Wal-Mart Stores Inc launched a brash price war

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Wal-Mart Strafes Amazon in Book War By MIGUEL BUSTILLO and JEFFREY A. TRACHTENBERG Wal-Mart Stores Inc. launched a brash price war against Amazon.com Inc. on Thursday, saying it would sell 10 hotly anticipated new books for just $10 apiece through its online site, Walmart.com. That was just the beginning. Hours later, Amazon matched the $10 price, squaring off in a battle for low-price and e- commerce leadership heading into the crucial holiday shopping season. Wal-Mart soon fired back with a promise to drop its prices to $9 by Friday morning -- and made good on that vow by early evening Thursday. Wal-Mart said the splashy move to discount pre-orders of popular books such as Stephen King's "Under the Dome" and Sarah Palin's "Going Rogue" was part of a larger strategy to establish Walmart.com as the biggest and cheapest online retailer. "If there is going to be a 'Wal-Mart of the Web,' it is going to be Walmart.com," said Walmart.com CEO Raul Vazquez in an interview. "Our goal is to be the biggest and most visited retail Web site." Wal-Mart's $10 promotion applies to the top 10 books coming out in November but the company is also selling 200 best-sellers for 50% of their list price. The price war sent shivers through the publishing world. Wal-Mart's move, and similarly low prices for electronic books, may ultimately condition consumers to expect new titles to cost $10,
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This note was uploaded on 01/22/2011 for the course MSOM 303 taught by Professor Philpot during the Winter '10 term at George Mason.

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Book price war - Wal-Mart Strafes Amazon in Book War By MIGUEL BUSTILLO and JEFFREY A TRACHTENBERG Wal-Mart Stores Inc launched a brash price war

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