We use cookies to create the best experience for you. Keep on browsing if you are OK with that, or find out how to manage cookies.
Nobody downloaded yet

Amazon's Kindle 2.0, (Pricing) - Essay Example

Comments (0)
The pricing strategy followed by Amazon for the Kindle is the price skimming strategy (Pricing Strategies). This strategy focuses charging a high price for a short time when the product is launched…
Download full paper
Amazons Kindle 2.0, (Pricing)
Read TextPreview

Extract of sample
Amazon's Kindle 2.0, (Pricing)

Download file to see previous pages... Therefore, Amazon decided to use the skimming model to make sure that they had increased short term profits and portrayed image of Kindle as a high end product.
Later, in July 2009 the price of Kindle 2.0 was dropped to $299 when the new model Kindle DX was launched (Kindle Dx vs Kindle 2.0). There are numerous reasons why this would have been done. The most plausible reason for this is that the newer version, i.e. the DX had better features than Kindle 2.0 and it was priced above $400. Another reason was a report by PC World that stated that each Kindle 2.0 device cost approximately $186 to build (The Kindle Pricing Strategy & The Kindle Pricing History). While PC World forgot to include the price of the software that the device hosted, it made a mark on the audience and Amazon had to reply by reducing prices. Similarly, the reduction in price was also made possible by the decrease in manufacturing costs resulting from the Prime View International’s acquisition of E-Link. Prime View is Kindle’s assembler and E-Ink provided them with the screens. By the acquisition Amazon was able to get better prices which it passes onto its consumers by reducing the price of Kindle 2.0.
The future pricing of the Kindle devices should be done by taking in to account the prices of competing devices such as Sony E-Reader and the Apple iPad. The E-Readers by Sony are available in three different models each priced at $399.99, $299.99 and $199.99 respectively (All Reader Digital Books) . While the Apple iPad (16GB) is priced at $499 and the one with 3G support is priced at $629 (Apple- iPad - Price ). Therefore, the future pricing of Kindle devices should be done based on the comparison of the features offered by the Kindle devices and the Sony’s E-Reader and the iPad. Today, Amazon charges $259 for the Kindle 2.0 and $489 for the Kindle DX. I propose that they should charge about $200 for the Kindle 2.0 and $300 for ...Download file to see next pagesRead More
Comments (0)
Click to create a comment or rate a document
This paper will discuss different economic approaches for Aslan communications’ price setting, and identify factors that may limit the firm’s choice in pricing decisions. The economic approaches consider elements such as demand, elasticity, cost, oligopolistic behaviour, market structure, product differentiation, and innovation management while setting price for a product.
5 Pages(1250 words)Essay
The choice of a pricing method to be adopted largely depends on the nature of the product and the targeted market structure and composition. The available methods include the cost based method which involves the price determination based on the cost of production.
4 Pages(1000 words)Essay
Consumer Behaviour Aspects: Success of Amazon Kindle
Since the emergence of the digital revolution, many technological products came to replace existing conventional products, introducing easier means of communication. Among these products is the eBook reader, which was launched in the late 1990’s. The evolution of the eBook reader involved several stages of technological developments.
12 Pages(3000 words)Essay
Amazon Kindle And Its Innovativeness
The term ‘innovation’ can be simply referred to the creation of better or new ideas, products, technologies, and processes that are duly accepted by governments and society. To illustrate, the former converts a new idea into revenues and profits whereas the latter turns a new idea into tangible outcomes such as product or system.
7 Pages(1750 words)Essay
Kindle: Price
Therefore, in order to allow more people to read more books, it is vital to come up with a proper pricing technique, which will ensure that the number of people using the kindle doubles or triples in a short period of time. Since not many organizations have managed to come up with a technology that can challenge the kindle, it is vital for Amazon to select a pricing decision that will focus more on customers instead of competition (Smith, 2013).
3 Pages(750 words)Essay
Web 2.0 And Enterprise 2.0 Concepts
This report is about Web 2.0 and Enterprise 2.0 concepts and the effects that social computing tool that rely on these concepts have had in today's organizations. The report commences by presenting the history of the two concepts and the environment under which they developed.
6 Pages(1500 words)Essay
There are many factors that can be used to determine the price of a commodity which all depends on the most prevalent factor that is used in a marketing system. Price is the quantity payment that is given in exchange for something. Through this may have a different social meaning, it is used for monetary value in economics.
8 Pages(2000 words)Essay
Amazon's Kindle Fire Aspects of Consumer Behavior
It is therefore necessary for Amazon to keep these aspects in mind whenever it does its marketing because if it does not, then its products would not long survive the very competitive market environment of the modern
2 Pages(500 words)Research Paper
Web 2.0
Previously, users were not able to modify or add any information on the web which has currently changed technological advancement. One of the major advantages of web
1 Pages(250 words)Essay
Amazon's not so secret war on taxes
Avoiding the sales tax has been the major and most important strategy of Amazon till date. This strategy has led them to gain a superior position amongst all other major retailers, gain high profits, and earn the best businessperson of the year rank in recent year; however their position seems to be in threat.
3 Pages(750 words)Essay
Let us find you another Essay on topic Amazon's Kindle 2.0, (Pricing) for FREE!
Contact us:
Contact Us Now
FREE Mobile Apps:
  • About StudentShare
  • Testimonials
  • FAQ
  • Blog
  • Free Essays
  • New Essays
  • Essays
  • The Newest Essay Topics
  • Index samples by all dates
Join us:
Contact Us