Price destruction on online webshop.
Hello.
Some of sellers are selling our products on internet site. Checking those sites, it seems price are different for each sites. Some them are selling with our designate retail price, but some them are selling little higher. From our(manufacturer) sight, what we care about online selling is “Price destruction”.
It’s OK with selling higher than retail price, but what’s gonna happen if some other traders sell less than retail price? As the all sellers are selling with higher than retail price, that is the basic rule to prevent price competition.
Once seller starts selling products less than retail price, all end users will get products from only those seller and other sellers business will stop.
Therefore all seller will sell products with cheap price, and they could not We need to treat all sellers fair, and keep their same profit average by setting retail price.
All sellers must conform to price rule to keep market secure. If they want to occupy a market, they should find other new way which will not make any troubles to other sellers.