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Ongoing Costs
Most third-party distribution agreements are structured on a percentage-of-sales basis, with the distributor receiving a share of the publisher's net sales (gross sales minus returns). Some would suggest that a laundry list of a la carte services is a better way to conduct the analysis, but in my experience, this approach introduces complexity that is difficult, if not impossible, to manage and an uncomfortable degree of subjectivity.
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David Hetherington
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