What is MAP? Map is a scheme where manufacturers can force retailers to engage in deceptive advertising practices because it's illegal to engage in outright price fixing.The situation is this: - A retail is free to sell products at whatever price they freely choose. - Under MAP pricing, however, the retailer must advertise the price to be at least $x. In other words a retailer can sell Widget X for $100, but they must advertise it for sale for at least $150. Now, most State and places have consumer protection laws that require businesses be honest in their advertising. The idea behind these laws is so that if a business advertising Widget X for $150 they shouldn't sell it for $200. But isn't advertising Widget X for $150 and selling it for $100 equally as deceptive? How many customers will really know the real price, if it is advertised at the wrong price, even if the wrong price is higher? Now, I can't imagine any manufacturer would suggest to retailers that they lie about their products in their advertising, but the bottom line with MAP Prices that is exactly the requirement! |