End of the sale?

lylesy

Fendi Fan
Jul 15, 2006
155
0
What do you guys think of this? Will this close the outlets?

The End of the Discount? Supreme Court Rules on Minimum Pricing

July 5, 200712:39 PM
http://www.thebudgetfashionista.com/images/sale_left_navy.png
End of the
Sale?
What: The Supreme Court recently lifted a ban that restricted the ability of manufacturers to enforce Manufacturer Suggested Retail Prices (MSRP) on retail stores.
What the Experts Say: For shoppers who are entirely focused on low prices, it might not be such a great thing, said Jeremy Feinstein, a trial lawyer with Pittsburgh firm Reed Smith whose focus includes antitrust cases.
How it Impacts You: End to designer discounts (at least as we know it). It will now be more difficult for department stores, outlets and other retail establishments to offer rock bottom sales on designer/branded items and it could signal the end (at least as we know it) of the department store style outlet stores like Off Fifth and Last Call Neiman Marcus as it will be harder for them to compete with the designers own outlet stores.


http://www.thebudgetfashionista.com/
 
well the article that blogger copied her bits from also notes:

"And the balance of power hasn't shifted entirely to the manufacturer. If Macy's is left with a pile of goods that didn't sell at full price, a vendor is unlikely to insist that those can't be sold at a discount or even to a close-out chain, said Mr. Feinstein. The ones who try that tactic likely will find that Macy's won't carry their goods at all."

So, yeah, I don't think this is going to be the end to outlets. There will still be sales. There will still be outlets. There will still be non-authorized retailers getting goods from who knows where that the manufacturers will have no say over since the manufacturers' only remedy is to stop supplying goods to the retailer, which they don't do to the unauthorized retailers anyway.