Professional Documents
Culture Documents
Positioning
Compared to I-pad
1. When compared to the I-pad more affordable consumption device and better equipped to
fight while providing a wide and deep content catalogue
2. Deal with third parties for content (Viacom)
Compared to Nook
1. Appel to online readers who favour more and more online in favour of blogs and wikis
2. Consolidated device with better reading experience and battery life.
Amazon
1. Traditional one-two punch of low margin combined with large scale delivery
2. Sweet spot between breath of content and blotted library with excessive licencing cost,
enough to attract customers
3. Demand for digital content, incremental online commerce sales and price sensitivity for
hardware
4. Integration of Amazon content cloud based storage and convince of Amazon Prime at
bargain prices
-Apple was subsided heavily by wireless carriers in return for a long term subscription contract,
while Amazon was selling at cost as a loss leader for content sales.
What is Amazon betting on to ensure that the Kindle Fire business model works?
o Content revenue
o Commerce revenue
o Advertising revenue
o Application market place revenue