
A. By far, the most common reason commercial publishers are not interested in a manuscript is that is that the manuscript is not good enough -- and unfortunately those who produce inadequate manuscripts tend to have a perfectly adequate skill for self-delusion.
But there is such a thing as a very good novel that seems too risky to commercial publishers. The alternative for such novels is the university presses. University presses issue a wide variety of books, including novels that do not seem to have much commercial potential. State universities are like to be interested in regional novels by authors who are natives of the regions. University presses also issue novels considered too literary by commercial publishers.
Some university presses ask for subsidies for at least some of their titles. The subsidy may be much less than what a vanity press might ask, the university's reputation may help the subsidized title -- while the vanity press imprint would do the opposite, and the university will probably deal with the author honestly. However, an author who cannot withstand the loss of the whole sum should never put up a subsidy.
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