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In reply to the discussion: Amazon to Cut E-Book Prices, Shaking Rivals (making Amazon a Monopoly) [View all]Bradical79
(4,490 posts)No, Amazon is not a monopoly yet, but it's not hard to see how an Amazon monopoly could come about. A good first step is being able to lower prices to a point that makes it impossible for smaller businesses to compete, driving out most "mom and pop" stores... who generally don't price gouge and live the high life despite what your extremely limited experience may tell you. The real reason most mom and pop stores will sell for higher prices is that they lack the infrastructure and funds to order and sell thousands or millions of an item. The more you can buy, the lower the initial cost of that item. A place like Amazon is able to sell so much of something that they can sell at a lower price than most mom and pop stores can get before their own markup.