Quote:
Originally Posted by murraypaul
You are still missing the point.
It isn't that an Agency type agreement is illegal, it isn't.
What is illegal is for multiple publishers to collude in simultaneously introducing one.
That has nothing to do with Amazon's policies, good or bad.
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I got that. The Supreme Court case says that in certain cases, suppliers fixing minimum prices could be legal , so an agreement to do it is permissible .
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Resale price maintenance may also give consumers more op-tions to choose among low-price, low-service brands; high-price, high-service brands; and brands falling in between. Absent vertical price restraints, retail services that enhance interbrand competition might be under provided because discounting retailers can free ride on retailers who furnish services and then capture some of the demand those services generate. Retail price maintenance can also increase interbrand competition by facilitating market entry for new firms and brands and by encouraging retailer services that would not be provided even absent free riding.
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OPINION
The argument would be that independent booksellers furish services and create demand that a discount retailer (Amazon) captures.