觀點商業

Biliousness in business does no favours for investors

In recent weeks we have seen an outbreak of bile in the business world. A disagreement between Amazon, the online retailer, and publishing conglomerate Hachette over the terms on which ebooks are sold has become a public slanging match. Amazon wants publishers to reduce most US ebook prices to $9.99 or less. Hachette refused so Amazon retaliated by charging more for some books, taking longer to dispatch them and removing buttons allowing forthcoming titles to be purchased before publication.

Amazon’s first remarks on the spat were calm, if condescending. “Unfortunately . . . we have been unable to reach mutually acceptable agreement on terms,” it said. “Hachette has operated in good faith and we admire the company and its executives.”

The emotional temperature increased, however, when Michael Pietsch, chief executive of Hachette, stoked the flames. “This dispute started because Amazon is seeking a lot more profit and even more market share, at the expense of authors, bricks and mortar bookstores, and ourselves,” he grumbled in an email.

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