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Old 08-03-2010, 12:56 AM   #11
ficbot
Wizard
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I think the connection is this: if everyone could set their own price, it would not matter so much if Retailer Y had the 'favoured nation' deal because I, as Retailer X, could still compete in the marketplace by offering by making the book a loss leader and taking my own hit on it to draw in other business. But if the publisher fixes the price AND gives someone a favoured nation status, nobody else can compete in the marketplace, and that is a monopoly/price-fixing situation.
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