From the article:
<<The major publishers are now forced to deal with these other large players on their terms. In a world of shrinking sales and ballooning costs, they've grabbed on to what appears to be a life raft - the celebrity best-seller.>>
Why are the costs ballooning? That would be a good place to start. Is it paper? Transportation? It is certainly not salaries, or author payments.
And if it costs much more to publish a book in the US than in, say, Canada or Mexico, the answer is obvious... there is free commerce between those three and roads that join them.
Best,
mrt
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