Los[t] Leaders

A  market research firm, IHS iSuppli, divulged this week that the new Kindle priced at $79 actually costs $84.25 to produce.  Add the free shipping and packaging that Amazon provides and we have what is known as a Loss Leader.  In grocery store lingo that is a cheap product which lures in shoppers. Even though the store may lose money on that specific product, businessmen bank on the fact that shoppers will buy many other products while in the store which will eventually glean profits.   I’m sure Amazon hopes that new Kindle owners will purchase books and magazine subscriptions through their own store eventually recouping their costs.  In addition, this model of the Kindle has ads on it. Another money making proposition.

This leads me to think about our own Los[t] Leaders…those politicians in state houses as well as Washington that are spending more than they are taking in. I think they should take note of the Amazon model. First, they could open government stores linked to food stamps, social security payments and other services they provide. Taxpayers might be induced to buy Statue of Liberty keychains, or John Boehner golf clubs, Nancy Pelosi jewelry or Mitch Mcconnell throat lozenges. And just think of the opportunity for billboards on the Washington Monument or on the side of Air Force One….Maybe we do need businessmen in office:)


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