Vertical price fixing involves controlling agreements between independent buyers and sellers whereby sellers are required to not sell products below a minimum retail price.This practice, is also called __________.
A)price discrimination
B)resale price maintenance
C)predatory pricing
D)tying arrangements
E)exclusive dealing

Question

Quizplus · Accepted Answer

Resale price maintenance is the practice of manufacturers or wholesalers controlling the prices at which their products are resold by retailers. This is done by setting a minimum resale price or enforcing a price floor, thereby ensuring that all retailers place the same price on their products.

Vertical Price Fixing Involves Controlling Agreements Between Independent Buyers and Sellers