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Garmin Price Fixing Post from other newsgroup
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July 16th 04, 09:09 PM
Jay
external usenet poster
Posts: n/a
Didn't the CD manufacturers get into hot water for setting what
amounted to a Minimum Retail Price Policy? I seem to remember getting
a class action check for some pitiful amount of money as a result of
that. As I remember they were convicted of giving advertising money
to retailers that agreed to the fixed minimum price.
I don't understand why Garmin would want to do this though. Maybe
somebody more familiar with anti-trust issues can give the economic
reason for these types of arrangements. I'd think they would want the
money collected by the distributers to approach zero (from
competition), leaving the potential of higher wholesale prices for
them.
(GaryP) wrote in message . com...
(TripodBill) wrote in message ...
Subject: Garmin too big for their britches? (Fixed Pricing)
From:
(TripodBill)
Date: 7/14/2004 12:09 AM Central Standard Time
Message-id:
Many readers appropriately picked up on one of the most important issues in my
earlier post: Minimum Retail Price Policy (i.e., controls). For those that are
[snip]
accessory will be canceled by Garmin. Garmin has now fixed prices on all their
aviation products. It will be just a matter of time before they do the same in
the automotive, outdoor and marine product lines. Happy shopping!
-Bill
(for more info, see sci.geo.satellite-nav newsgroup)
"He who builds a better mouse trap...." This is the basis of our free
enterprise system. If you don't like it then don't buy Garmin. Right
now they (Garmin) are enjoying the fruit of having the right products
at the right time and clearly there are many people willing (key word
here) to pay Garmin's price for them. I certainly don't like the
lack of competative choice for a GNS430 or GPSMap 296 but there is
nothing that you or I can do other than spend our money elsewhere.
I had hope when UPS Technologies released their GNX80 that it would spur
a round of competative price reductions in the Garmin line. However
Garmin quickly eliminated that threat and bought UPS Technologies.
GaryP
Jay