By Adam Levine-Weinberg:On Tuesday morning, Amazon (AMZN) released a lightning deal for the base Kindle Fire model; while the Kindle Fire usually retails for $159, the company made a limited number available for $129. The deal opened at 10 A.M. PT, and was gone within three hours. What does this temporary discount mean for the Kindle Fire? There are three potential explanations that seem plausible to me. First, Amazon may have aimed to create some buzz around the Kindle Fire, to take some attention back from Apple's (AAPL) prolific launch of the iPad mini. Second, Amazon could have dropped the price as a test of demand at the new price point. If this is the case, the company could be considering a permanent price drop. Third, the price drop may have been a simple tactic to clear unwanted inventory.Regardless of the exact rationale for the "lightning deal", this episode suggests thatComplete Story »
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