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<blockquote data-quote="Dannyalcatraz" data-source="post: 5618962" data-attributes="member: 19675"><p>I didn't know all that- UGH!- but here in the Dallas/FW area, they burned a lot of bridges with their game stores.</p><p></p><p>See, they wanted to open their own store in Grapevine Mills Mall. Which they did. No problem there. Then they set a minimum price for all their products for the retailers in the area. Still not really a problem.</p><p></p><p>Then they started undercutting the price they set for all the other retailers in the area. <em>Not so good.</em></p><p></p><p>The reaction was swift: clearance sales of all GW product in many stores in the D/FW Metroplex. I mean like prices set at cost. So they gained a huge regional near-monopoly on their own product, but it cost them a lot of distribution outlets. Not the brightest business move I've ever seen.</p><p></p><p>I don't know how well that store is doing, but it does have customers every time I pass it. However, because of this course of action, they're effectively a hostage to the rental rates in the area. If they don't maintain their own store, GW could virtually disappear (at least, as a product in physical stores) from the D/FW market, since many of the game stores that sold their supplies off have NOT reordered, and have expressed no interest in doing business with the company again. (A few have relented, but not all of them.)</p></blockquote><p></p>
[QUOTE="Dannyalcatraz, post: 5618962, member: 19675"] I didn't know all that- UGH!- but here in the Dallas/FW area, they burned a lot of bridges with their game stores. See, they wanted to open their own store in Grapevine Mills Mall. Which they did. No problem there. Then they set a minimum price for all their products for the retailers in the area. Still not really a problem. Then they started undercutting the price they set for all the other retailers in the area. [I]Not so good.[/I] The reaction was swift: clearance sales of all GW product in many stores in the D/FW Metroplex. I mean like prices set at cost. So they gained a huge regional near-monopoly on their own product, but it cost them a lot of distribution outlets. Not the brightest business move I've ever seen. I don't know how well that store is doing, but it does have customers every time I pass it. However, because of this course of action, they're effectively a hostage to the rental rates in the area. If they don't maintain their own store, GW could virtually disappear (at least, as a product in physical stores) from the D/FW market, since many of the game stores that sold their supplies off have NOT reordered, and have expressed no interest in doing business with the company again. (A few have relented, but not all of them.) [/QUOTE]
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