Kindle 2 Tear-Down Reveals Price of Components
adeelarshad82 writes "Amazon's wildly popular Kindle 2 got a good old fashioned tear-down from the folks at market research firm iSuppli. According to the organization, the Kindle 2's manufacturing cost is almost half as much as its retail price."
Where do they advertise to potential consumers?
Who are their customers?
By all appearances, they don't distribute it to other retailers. Most wouldn't carry it anyway.
Since Amazon is the only one carrying it, how does anyone know how many are sold?
I think the "news" actually is that they are trying to make a tiny bit of profit on a sale. Xboxes and the like are rumored to be break-even with profits coming from game titles sold.
http://www.maxineudall.com/2010/02/should-economists-be-sued-for-malpractice.html