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by hamlsandwich 1611 days ago
Presumably they pay rent in those malls, and the bigger the store, the more rent they pay. The problem with that arrangement is that you need to be at a certain minimum scale in order to afford rent at all - you can't just occupy a free/basically free store to play around and make toys in. Taking a commission avoids that issue by making 'rent' scale with the amount of business you do, not how much floor space you need.

I'm not saying that 30% is the right amount - I really don't know. But the mall comparison doesn't seem like a cut-and-dry case to me at all.