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(OT) Undercutting your LGS. Your opinion wanted.
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<blockquote data-quote="spacecrime.com" data-source="post: 199537" data-attributes="member: 753"><p>You're not a lawyer, and you are wrong about this. I'm not a lawyer either, so I don't fully understand the exact distinction, but GW's policy is by all reports legal.</p><p></p><p>As I understand it -- again as not-a-lawyer -- GW can make "do not sell below a certain amount" a part of their direct retail terms. The retailer can sell GW for whatever amount they like, but GW is under no obligation to sell product to *them* if they violate the terms. </p><p></p><p>Now, GW can't tell a distributor to tell its customers to sell at a particular price, so it is possible for a discounter to buy GW product from the distributor and sell it at a deep discount. However, GW gives lousy discounts to distributors, which are then passed on to the retailers. If you're buying from the distributor at 35% off MSRP and then trying to sell at more than 20% off MSRP, your business is pretty much on a short track to oblivion.</p><p></p><p>Much as I dislike the company, I think it's fair to say that they do an excellent job of protecting their MSRP. Sure, you can sell their games at a discount, but unless you're GW it's financial suicide to do so. (Since GW can and does use its production advantage to undercut retailers as a matter of course, they get to have their cake and eat it too.)</p><p></p><p>yours,</p></blockquote><p></p>
[QUOTE="spacecrime.com, post: 199537, member: 753"] You're not a lawyer, and you are wrong about this. I'm not a lawyer either, so I don't fully understand the exact distinction, but GW's policy is by all reports legal. As I understand it -- again as not-a-lawyer -- GW can make "do not sell below a certain amount" a part of their direct retail terms. The retailer can sell GW for whatever amount they like, but GW is under no obligation to sell product to *them* if they violate the terms. Now, GW can't tell a distributor to tell its customers to sell at a particular price, so it is possible for a discounter to buy GW product from the distributor and sell it at a deep discount. However, GW gives lousy discounts to distributors, which are then passed on to the retailers. If you're buying from the distributor at 35% off MSRP and then trying to sell at more than 20% off MSRP, your business is pretty much on a short track to oblivion. Much as I dislike the company, I think it's fair to say that they do an excellent job of protecting their MSRP. Sure, you can sell their games at a discount, but unless you're GW it's financial suicide to do so. (Since GW can and does use its production advantage to undercut retailers as a matter of course, they get to have their cake and eat it too.) yours, [/QUOTE]
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