The Economics of the “Long Tail” Is Transforming Business Models

Whether you’re talking about books, music, movies, or even clothes, until recently economics dictated that the big money was made off a few big hits. But, as the Trends editors predicted more than a decade ago, the economics of e-Commerce is revolutionizing that old model. Today, the big money is made by having a virtually infinite variety of products appealing to nearly every taste. While the best-sellers are often discounted to the point that they become “loss leaders,” margins on low-volume specialty products remain robust. What will that mean for strategies and bus.....

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