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Assess Barnes and Noble’s response to the substitution threat from Amazon. How did Amazon respond in turn, and to what net effect?

Barnes and Noble’s Response: Barnes and Noble had started studying online business during late 1994. It was not in response of Amazon.com’s going online that they thought about doing online business. Their mission in starting online book retail was clear – To leverage Barnes & Noble brand name online. They soon realized the substitute threat…

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Traditional bookselling and Online bookselling – Comparing a customer’s willingness-to-pay

Traditional book selling and Online book selling – Comparing a customer’s willingness-to-pay for books supplied in these two business models. (i.e. Do they expect to pay less online? Why? What else do they expect from each method?)      The major differences between the customer’s willingness-to-pay in traditional book selling and its online version can be analyzed…

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Amazon Vs Barnes and Nobles – How both companies differ in online book selling business

Since 2000, the competition between http://www.amazon.com/ and www.barnesandnoble.com/ has become intense with the entrance of competitors such as Borders and Books-A-Million Inc. Currently, as per the last traded values – 60.60 & 40.77 (Yahoo! Finance, 2007, April 27) and customer ratings – 97% & 92% (BizRates.com, 2007, April 27) , Amazon is ranked #1 in…