Unwilling To Compete, Canadian Booksellers Association Tries To Block Amazon Distribution Center
from the competition-north-of-the-border dept
jprlk was the first of a few of you to send in the news that the Canadian Booksellers' Association is apparently so afraid of competition from Amazon, that it's asking the government to block the company from building a distribution center north of the border. Apparently, they're relying on some ridiculous rules about "foreign ownership," which is really an excuse to screw Canadian citizens by making things more expensive by limiting competition. The "moral" claim (one we've heard before in other contexts) is that Amazon shouldn't be allowed in Canada because it "won't promote Canadian authors" enough. Of course, the real reason they're afraid is that Amazon will likely be cheaper, which would actually benefit Canadian citizens and authors, by making it easier and cheaper to buy the books of those Canadian authors.
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Filed Under: booksellers, canada, competition
Companies: amazon, canadian booksellers association
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Not sure what they call the facility though, and how "distribution center" would be different.
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Re: Amazon
They got around the legislation by striking a deal with Canada Post to do their distribution. Canada Post established a subsidiary that, as far as I know, does nothing but acts as Amazons distribution centre in Canada. Under this deal shipping a book that would cost an ordinary bookseller in the region of $6 was costing Amazon a matter of cents. This little arrangement could have been subsidised by the taxpayer for all anyone knows for I certainly have never understood the economics of it.
Amazon now wants to walk away from Canada Post and run their own distribution centre. They seem to think that they can do it even cheaper. I do not understand how but it is clear that no net new jobs will be created in distribution.
By the way, people should consider the carbon footprint of Amazon's business model. Enormous!
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Pixelton Who Doesn't Care
I'm not, and we don't care about you either.
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Perhaps people that live in Canada care? You must be one of those educated world travellers that understand there are many countries in the world, not just the one you live in. Oh wait....
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I would have used a sarc mark, but didn't want to infringe.
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Unwilling To Compete
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Easily Fixed
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hasn't affected my bittorrent downloads yet
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Ok, you're forgiven. I'll drink a beer in your honour this evening.
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I can't believe I wrote Canadian supremacy...
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Besides, if you're only allowed to source 10% of your programming from overseas, all the more reason to make it the 10% that Theodore Sturgeon had his revelation about.
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The battle with Amazon is already over, it was fought in 2002, and booksellers (read: Chapters/Indigo/Quebecor) lost. Amazon is already considerably undercutting the prices you pay in the brick & mortar stores in Canada. A distribution center in no way changes things.
What it does do if it's allowed to proceed, is give Barnes & Noble a place to point and say: Well what about Amazon? They have a brick & mortar presence, so why can't we?
The Canadian book stores are only alive because of the lingering brick & mortar loyalty. They wouldn't be able to compete if there were US based brick & mortar operations.
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from the article:
and yes, canadian supremacy is a key component to our (yes, i'm from the land of the peacekeepers) screwing with our own people, to extract more money out of our pockets in order for the money to flow to a few key m/b-illionnaires.
true patriot love = pretend xenophobia for $$
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Border Crossings
I always find it amusing when Americans complain about another country trying to protect jobs. Can you say "Softwood Lumber"!
In Canada we are already losing smaller Brick and Mortars to online both in Canada and from the US. Add in a biggie like Amazon and that means lots of job losses that would not be gained at the distribution centers.
How many of you have ever gone to brick and mortar to check out a product and then purchased online? After a while there will be fewer and fewer brick and mortar stores.
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Re: Border Crossings
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also amazon does a really bad job of promoting canadian anything, authors, artists, musicians, etc...so it's completely understandable why these people who barely make money because canadians don't read or buy or support their own artist communities much, but read and consumer more shit from america per person at a ridiculous pace and amounth, makes me want to support chapters in this inane fight. it's completely outlandish, childish, and stupid though. maybe shit like this wouldn't happen if the laws weren't so easily exploitable and protectionist, but once again what chapters is doing and the publishers and all those guys are doing is understandable.
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Amazon
I haven't bought a book in a bookstore for over two years but I buy books every couple of weeks - almost always from Amazon but price is not the issue. Amazon makes it easy. There is community on Amazon and their customer service is great. Sometimes it's cheaper.
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It's all going to seem silly when everyone jumps on the ebook bandwagon
The music industry is the example; see the future unfold ...
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Amazon
Canadian Independent booksellers are unable to compete with Amazon because there is not a level playing field. Amazon buys its books from the publishers at a substantially greater discount than independent bookstores. They sell many titles at a lower cost than independent booksellers can buy them from the publishers. How can anyone compete with that? Amazon have also been able to ship books in Canada at prices that ordinary booksellers could only dream about. Decimating the independent bookstore sector will not increase competition - it will leave only Chapters/Indigo and Amazon dictating their terms to Canadian publishers.
Amazon wish to locate here in order to further reduce costs and sell even cheaper. This will impact most on independent booksellers in smaller cities across the country.
There is no economic benefit to the country in this. Money spent on Amazon is sucked out of Canada before the buyer releases the click button on their mouse. Whereas, when spent in local bookstores (who pay local taxes) it has a knock on effect through the local economy. Numerous jobs will be lost in the book trade across the country.
Granting Amazons request will also open up the industry to further foreign ownership. If Reisman wishes to sell Chapters/Indigo to a big US chain now how could the government deny her having acquiesed to Amazon?
There is always a cost to cheap as people are increasingly beginning to realise. Everyone in the USA thought it was great getting dirt cheap stuff in WalMart until they woke up one morning and discovered that nothing was made in the USA anymore and they had a balance of payment deficit of billions with China. False economy is everywhere today.
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