Targeted form rejections are used in almost every case by Marion Zimmer Bradley. These rejections, while not personal, pin-point a specific problem in the story. Her set of rejection letters can be entertaining, after one has gotten over the initial disappointment of failing to sell. My favorite line from one of these is something to the effect that "if you wish to make a political statement, hire a hall and pass out leaflets. It's more honest." Another good line from her fleet of rejection letters: "suspending disbelief does not mean hanging it by the neck until dead."
Why do stories get rejected? First, this is a buyers' market. Every editor gets far more stories than he or she could possibly use, even if every one was a jewel. So luck and timing play a pretty big role in getting published. Editors try to balance a magazine, so that the stories complement each other. As the writer has no idea what the editor has in inventory, this part of marketing short fiction is a gamble.
Some stories are rejected because they are not very good. My own first stories were not very good and some of the ones I'm writing now are probably not very good. Obviously, I think they are good or I wouldn't write them. Sometimes it takes a rejection for me to realize that the story needs revision.
A final reason for rejection is that the magazine is wrong for that story, even if the story is well executed. Each short fiction market has its own flavor. To understand what an editor wants, it is crucial to read the magazines.
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