1. BAD BUSINESS

    $199 Kindle Fire Costs $209 to Make

    Image #: 15474300    Amazon CEO Jeff Bezos holds up the new Kindle Fire at a news conference during the launch of Amazon's new tablets in New York, September 28, 2011. REUTERS/Shannon Stapleton (UNITED STATES - Tags: BUSINESS SCIENCE TECHNOLOGY TPX IMAGES OF THE DAY)       REUTERS /SHANNON STAPLETON /LANDOV

    Shannon Stapleton, Reuters / Landov

    Did somebody forget to do the math? According to iSuppli Research, the Amazon's new Kindle Fire costs $209.63 to make, including manufacturing expenses. But the company is selling it at $199, and factoring other costs the Kindle Fire could be sold at a $50-loss per unit. But the strategy is that the company hopes the new product will stimulate sales of goods on Amazon, thus boosting overall business.

    Read it at International Business Times