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Posted by Jerry Stuckle on 06/17/07 12:58
Mark Goodge wrote:
> On Fri, 15 Jun 2007 21:07:33 -0400, Jerry Stuckle put finger to
> keyboard and typed:
>
>> NotMe wrote:
>>> "Scott Bryce" <sbryce@scottbryce.com> wrote in message
>>> news:y8idnWWhOuepju7bnZ2dnUVZ_qemnZ2d@comcast.com...
>>> | Bodfish wrote:
>>> |
>>> | > Then the FTC would shut you down for operating a monopoly.
>>> |
>>> | Not if you have competitors. Other people could sell a competing
>>> | product, and you wouldn't have a monopoly.
>>>
>>> It's called price fixing and is a subect dear to the hearts of the DoJ folk.
>>>
>>>
>>>
>> No, it's not. Price fixing is when two or more competitors agree on
>> what they are going to charge (collusion). You can specify the minimum
>> price your resellers can sell your product. That's a matter of contract
>> law.
>
> That depends where you are. It may still be legal in the US, but
> setting a minimum retail price has been illegal in most of Europe for
> quite some time.
>
> Mark
It is generally recognized in the U.S. that a company can set a minimum
price for its products. It allows a manufacturer to protect its other
sellers. Otherwise high end retailers may stop carrying a product
because discount stores sell the same thing at a much lower cost. And
manufacturers definitely want to see their products in the high end
retailers.
This is different from price fixing, where two or more competitors get
together and agree to widgets at a certain price.
--
==================
Remove the "x" from my email address
Jerry Stuckle
JDS Computer Training Corp.
jstucklex@attglobal.net
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