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I am looking for an api or service that will allow me to sell greeting cards on demand for a new service I'm building. I am assuming I can use CafePress (but their product are expensive). Are there any alternatives?

A: 

You have many options here

Here's a list http://webtecker.com/2008/04/22/8-best-open-source-shopping-cart-solutions/

Another one is TomatoCart.

Also try Apache OfBiz. it has a lot more than a shopping cart. probably not a good fit)

Midhat