Amazon.com to Make Broad Price Cuts

Amazon.com Inc. said it will slash more book prices by as much as 40% as the Internet bookseller seeks to lure customers from established retailers. The promotion was increased to 400,000 titles. It will also cut prices on paperbacks by 20% and hardcovers by 30%, matching discounts offered by Barnes & Noble Inc.’s Web site, which was launched last month. Amazon.com’s move comes amid concern that retailing on the Internet won’t be as popular as some analysts and executives had projected. “They’re looking to build market share and increase traffic to their Web site,” said Ryan Jacob, director of research for IPO Value Monitor in New York. Shares of Amazon.com fell $1.25 to close at $19 on Nasdaq. The stock fell below its offering price four days after it went public at $18 a share on May 15.