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Bookmaster Case Sudy

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The Bookmaster case study is about one customer’s journey going to the Bookmaster store to buy a hard copy book. After a frustrating 25 min ordeal just to get to the store to purchase his book, he finds out that the two copies they said they have on the shelf are not there. The customer relations associate (CRA) finds that there is one copy at another store 15 miles away that he could go pick, or she could order it and he could pick it up at this store in two days. The customer didn’t want to drive the 15 miles, so he started to leave the store in frustration. The CRA suggested that another alternative is that, since the book comes in digital form, he could save $19.95 and he could down load it to a computer, Kindle or iPad. I will look at the value chain process for printed books and for eBooks and how they make their money. I will discuss the advantages and disadvantages of each. Process of Value Chain

The process in which printed books are made is first you have an author that writes the book. The author has a literary agent that represent him, then he goes to the publisher who edits, produces, markets, and distributes the book to be sold in retail stores to be available for the customer to purchase. There is a contract between the author and the publisher. The publisher pays the author and gets a percentage of the sales from the retail outlets. The author pays his agent a percentage of sales also. To keep customers engage with the author, the publisher has their own website and usually the author maintains his own website, such as face book and twitter. (See attached diagram) With the new technology of today eBooks have become very popular. Most printed book publishers also handle eBook technology. The value chain process is almost the same as hard back books; except with eBooks there is no offset printing to be done or a physical product. When downloading eBooks, you can download to several different devices such as kindle, ipad, iphone, nook and computer. To purchase an eBook you have several different pay options, pay pal, credit card or debit card. Your payment goes to the retail outlet you are purchasing from, they in turn have paid the publisher who pays the author, who pays his agent. Customer and Management View Points

When looking at value chain in the view of the customer, the advantages of eBooks are that they are easily readable, cost effective, they can double as audio books and environmentally friendly. Disadvantages of eBooks are start up costs of buying an electronic device, there are formatting issues that impede users from being able to change the format, and being able to read a book on a different device. There are also piracy issues that the authors and publishers face and for the customer technically they legally can’t lend a book to a friend. Also electronic books can leave a customer’s whole book collection open to viruses CITATION Ebo13 l 1033 (Ebooks Pros and Cons – Ghostwriter Needed, Copyright 2008-2013). The advantages with a printed book is, it is easier on the eyes, some customers love the feel of a books and they are more dependable because you can read a printable book anywhere, whereas eBooks you are subjected to power shortage, malfunction with the hardware and viruses and finally you have a book cover.

When management views the value chain they can see that the production of the eBook is more cost effective than that of print. Research has shown that the average production cost for print is $4.05 a $26 hardcover versus $.50 for a $9.99 download. The average royalties paid to an author is $3.90 per book versus $2.12 per download but they also have to look at the sales figures of what the consumer is investing in. In 2009, publishers sale for printed books were at $249.2 million versus $29.2 million for eBooks. Another thing for them to look at is environmentally, the carbon emission required to produce 40-50 books equal to make one eBook. Another issue that management has to deal with eBooks, is that the copy right law are still vague for this kind of media and it opens them up for piracy of their material, which adds up to loss of revenue for both the author and publisher.

Operation management is constantly changing. It is important to keep up with new technology because it is constantly evolving. Consumer expectations are also evolving with new technology and their expectations are high. OM also has to keep in mind the traditional components of production, like that of printed books. It’s clear that the consumer still wants the options of printed books, but research is showing that the eBook is up and coming and is being embraced by the consumer. There are certainly advantages and disadvantages of both. Our environmental issues are enormous to management operations, and they may need to take an extra step by promoting protecting our natural resources of trees. s

Works Cited
BIBLIOGRAPHY Collier, D. A., & Evans, J. R. (2013,2012). Bookmaster Case Study. Mason: Joe Sabatino. Ebooks Pros and Cons – Ghostwriter Needed. ( Copyright 2008-2013). Retrieved from AuthorBridgeMedia.com | : www.ghostwriter-needed.com/ebooks.html On My Mind. (2011, January 23). Print book vs. e-book. Retrieved from On My Mind: onmymind.areavoices.com/2011/01/23/print-book-vs-e-book Peterson, V. (2014). Major Departments in a publishing house. Retrieved from The Book Editoral Process: publishing.about.com/…/The-Book-Editorial-Process-Manuscript-Submis

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