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Unformatted text preview: – Large fixed costs – Almost zero growth • Random House’s corporate advantage: – Back-end integration reduces fixed costs – Front-end separation builds relationships with authors and increases scalability • Major threats include: – Saturation and increased competition – Retailers (e.g. B&N) integrating backward – Electronic publishing and e-books • But Random (and other publishers) will maintain position as long as their main resources are intact: – Discovery and search of authors – Editorial design, layout of books – Marketing, advertising, reducing “clutter”...
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- Fall '10
- Management, Electronic publishing, Imprint, Random House, corporate advantage