Revenue Sharing and Vertical Control in the Video Rental Industry
Article Abstract:
In video rental where a high royalty is paid on sales to suppliers, outlets can buy only a few and customers are stocked out. However, in a newer contract, a smaller price is paid for each of the the videotapes, enabling the outlet to buy more and the revenue is shared on the downstream inventory between the outlets, suppliers and distributors.
Publisher: Blackwell Publishers Ltd.
Publication Name: Journal of Industrial Economics
Subject: Economics
ISSN: 0022-1821
Year: 2001
Prerecorded Tape, Compact Disc, and Record Stores, Record & prerecorded tape stores, Videotape Sales & Rental Stores, Research, Contracts, Pricing, Video recordings, Video stores, Revenue sharing, Multilevel marketing
Publication Name: Journal of Industrial Economics
Subject: Economics
ISSN: 0022-1821
Year: 2001
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Why do suppliers charge larger buyers lower prices?
Article Abstract:
If industrial suppliers consistently use a price differential favoring larger buyers, they avoid accusations of collusion, while at the same time lowering consumer welfare.
Publisher: Blackwell Publishers Ltd.
Publication Name: Journal of Industrial Economics
Subject: Economics
ISSN: 0022-1821
Year: 2001
Industrial supplies, Industrial Supplies Whsle, Industrial Supplies Wholesalers, Statistical Data Included, Prices and rates, Wholesale industry, Wholesale trade, Industrial equipment and supplies industry, Industrial equipment industry, Price fixing
Publication Name: Journal of Industrial Economics
Subject: Economics
ISSN: 0022-1821
Year: 2001
User Contributions:
Comment about this article or add new information about this topic:
Subjects list: United States, Analysis
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