I am in the middle of trying to work the kinks out of my experience with Amazon's Createspace publishing site. It is a love/hate relationship, but the benefits to publishing are pretty cool.
Amazon will publish your book completely free of charge if you want, and all you have to do is order one proof of your printed book. The catch is that you are the sole editor of your text once it uploads to Createspace.
I am using Scrivener to write my books now, and I find it to be fantastic in that it will create not only a ready-to-go formatted .mobi file for Kindle, but it will also create a paperback novel formatted pdf for uploading the interior text of your novel. Pretty sweet, except that you MUST do all of your editing and type-os are inevitable.
I received my proof today for "Notes From the NICU: Overcoming Catastrophic Trial", a devotional book I wrote about my son's premature birth and how God pulled us through it. Everything was fine except for one type-o that my wife immediately found. I guess it's ok to have a type-o or two. I don't have a massive editorial staff at my disposal.
All in all, Createspace makes a nice product for what you pay for it (basically $39 for the pro upgrade which is worth it) and then you have to buy one proof copy of your book. It is up to you to market it and get the word out. I don't really care about being a best selling author, so it fits my personal likes.