Online Shopping.

[Greggo']

As most of you are aware there is going to be an increase in pricing of products bought online. Many manufacturers led by Sony are seeking to impose higher prices on the goods that they supply to internet retailers.

Internet retailers are on the whole considerably cheaper than their high street counterparts. Some reasons are:
They don't have high street shop rent and running costs.

They don't have to employ and train sales staff.

All the e-tailers need is a warehouse and a website and they can then pass on these savings to customers.

Many people are using high street stores for staff to demonstrate products and answer all the pre-sales questions to later order from an online store at a discounted price.

What are your views on this subject? My opinion is Sony are very brave in risking loss of business if their products are dropped from E-tailers. I do agree with them and think they are being brave and I hope other large manufacturers do follow suit.

[OBonio]

Sony can afford to do this, so they aren't being brave at all I don't think. Their brand is very strong.

Personally, I think it's wrong for them to do this. They get their profit however their products are sold. In the end, they're only penalising the consumer by stifling competition (isn't there a law against this?).

Also, will they be selling to the likes of Currys who have a high street and online presence at two different prices? I doubt it very much.

[MsBadely]

Denied!

http://news.bbc.co.uk/1/hi/business/4438298.stm

[january_bug]

Could be a breach of Article 82 (Breach of a Dominant position), we'll see what the Monopolies & Mergers Comission have to say on it if it gets referred.

[Haggisdj]

As a dj, the problem I have with Internet shopping will be the same as buying CDs, etc. from a supermarket. People do it because it is cheaper but they only usually supply the chart stuff. You have to go to record shops to buy new or 'unfashionable' (non-chart) stuff. The records shops are going out of business through this.

[jake-the-peg]

All depends on how you put it - So the manufacturers say they are not "upping prices to e-tailers" but rather are subsidising high street stores because they are providing a hands-on customer experience and service that is beneficial to their brand development.

I mean surely there's no law in paying somebody who provides a service to you and by providing a high street demonstration facility that's what the retailers are doing. Discounting prices to them is a way of paying them for that service.

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