Monday, April 16, 2007

Class Material Post 3

In class we read an article from the BBC News called Amazon's old customers 'pay more'. This topic interested me because I thought it was extremely unfair that Amazon could do this. After we read the article in class we were given a certain side to take, either Amazon or the consumers that found this problem. I was on the Amazon side and could think of nothing in their defense. I did not believe it when the article said that Amazon claimed that this was a kind of experiment.

This issue deals with cookie files and how this could be an example of one of the negative aspects with the files. Is it really fair for companies to be able to do this? Additionally, how is it fair that regular, loyal customers are the ones that are being charged more whereas new customers benefit? From a marketing standpoint this is not effective and it is these customers that should be held very highly for a business. Now, with the negative publicity and the discovery of this possible "price discrimination" Amazon could potentially lose many loyal customers.

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