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Amazon’s loss leader

In a recent interview, Amazon boss Jeff Bezos, restated that the latest Kindle would not make the company a profit.

It’s an interesting move, and one that seems to have largely worked for Amazon as consumers head for the company’s own digital content on their cheaper Kindle. At least that’s the intention.

Is the cheaper price-point necessary though? As far as I’m aware, the Kindle isn’t a comparable product to the likes of the iPad, and doesn’t seem to compete on functionality. Perhaps you have successfully marketed a loss leading product in your business? Let me know in the comments below. 

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