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There are well-known strategies for breaking cartels doing price-cutting. e.g. Dow chemical (https://fee.org/articles/herbert-dow-and-predatory-pricing/ https:/
by cynusx 10y ago
There are well-known strategies for breaking cartels doing price-cutting. e.g. Dow chemical (https://fee.org/articles/herbert-dow-and-predatory-pricing/ https://fee.org/articles/herbert-dow-and-predatory-pricing/)
Although repackaging chemicals is probably easier then reselling DRAM as I assume there are IP rights involved.
- mdpopescu 10y agoYep. As usual, it's impossible to have a reliable cartel if the government doesn't support it.
- edblarney 10y agoAlthough this is a great article, I'd suggest this is not by any means a 'well known strategy' - it's rather a brilliant bit of entrepreneurialism and an anomaly at best. It would take some serious financial backing, wherewithal to pull this off, moreover, it could really only be done in a commodity market. I'm not even sure it could be done today.
- stuaxo 10y agoIt happens in all sorts of industries. Going back a bit, this one http://www.heraldscotland.com/news/12093375.display/ http://www.heraldscotland.com/news/12093375.display/
- edblarney 10y agoI don't doubt that price fixing happens. I doubt that small businesspeople can out-compete big cartels who want to dump on them.