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Price fixing is illegal, but only at the level where retailers conspire to
fix prices. The courts have repeatedly held that manufacturers can enforce mandatory pricing levels on their customers (the retailers). Thus Garmin is perfectly free to set a minimum retail price for its products and even refuse to do business with retailers that violate the policy. You already see it in almost every sector of the economy, but you don't notice it because it really only works for scarce, high demand items like the Garmin 296. |
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