The Work

The Juicy Details

I guess the part I found most interesting/amusing about the DOJ lawsuit against Apple et al is this:

They spelled Picholine wrong, for starters. Another is the sort of blind item in Paragraph 41 – who ARE those CEOs, both the American subsidiary and the European corporation? (Share your guesses in the comments. Anyone guessing Hachette gets a homemade hush puppy.)

But beyond the trivia (and $195 16-course tasting meals is the extent of the salaciousness – this is book publishing, after all), I am wondering – what other industries permit agency pricing? In what other sector do you find manufacturers setting the prices and retailers having to, essentially, like it or lump it at a certain percentage?

The only instance I know of is TekServe. An Apple repair shop/seller, TekServe cannot by contract undercut any of Apple’s prices. In some cases they can’t even offer the same deals that Apple does (the back-to-school deal, for example, where a student gets an iPod Touch thrown in with a Macbook).

Mike Cane points out another interesting Apple twist – that of in-app purchasing. He does make a very good point.

If this stuff keeps unwinding today, I’m going to need one of these:

2 thoughts on “The Juicy Details

  1. If you search the Net, I’m sure you can find out that Apple ties it marketing dollars to non-Apple dealers in such a way that under no circumstances can they price an Apple product in any way that Apple does not approve.

    When we had major airlines (ha!), there were several examples of how they would collude in pricing — although that might have been before they were all deregulated and started to drop dead from being unable to actually compete (wow, just like today!).

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