Education
Julie reveals the issues within the Resale Price Maintenance or price fixing within Competition law: Retail Price Maintenance (RPM) is a form of vertical price fixing (VPF). (VPF) engages different firms in the market place instead of competitors. (VPF) appears when a firm at one level, fixes prices to be charged by a firm at another level example include: 'Retailer purchasing goods from manufacturer on terms fixing price, manufacturer charges other retailers'. RPM according to TPA is a narrower than the board concept of price fixing. RPM entails a supplier, fixing (or attempting to fix) to resale at the minimum resale price of goods/ services that the goods can supply. The key reasons for organisations/individuals constructing a RPM deceptive scam includes: 1. Prestige & image. ""The attraction of many products to consumers lies in the fact that they are expensive, and have an aura of exclusivity about them"". Cases: 1. The Heating centre, 2. TPC vs. Penfold wines (1992).