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As with many online retailers the company reserves the lowest prices for the most popular products and assigns higher prices to less popular products (Chaffey et al, 2006). This pricing strategy helps keep Amazon competitive in the online market.
Another way the company meets its objective of low prices is through offering free shipping. If a certain amount is spent with the company in any one purchase, the customer will receive free shipping for their order. The dollar amount at which free shipping is set varies with Amazon’s competition.
Amazon also offers an additional service called Amazon Marketplace...
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