The pricing of some products that you sell will be strictly controlled by the manufacturer. This is done by setting what is called a Minimum Advertised Price, or MAP. The manufacturer of the product is the one that sets MAP pricing. This pricing structure is then enforced by the distributors of said product. For example, you want to sell this really cool piece of electronic equipment, but before you can align yourself with a distributor for such an item, you are required to sign an agreement that basically states that you agree to sell it for no less than $179.99. This particular item retails for $199.99, so you are able to offer it for sale at a $20.00 discount.

avatar



Comments
 
Who Zoomed
 
Related Links