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I know the relevant laws (possibly because I've been a retail business owner,) I'll actually cite them. It's called Truth in Advertising and Marketing, and is g

I know the relevant laws (possibly because I've been a retail business owner,) I'll actually cite them. It's called Truth in Advertising and Marketing, and is governed by the FTC at the federal level and also enforced at the state level where more appropriate. To violate it would give you a charge of False and Misleading Advertising. It is a secondary derivative of the Lanham Act, which also prohibits false advertising. Airlines got especially busted for price advertisements, and are now required to abide by Federal laws written JUST FOR THEM regarding their pricing advertising practices - 14 CFR § 399.84

nothrabannosir 7y ago
This conversation is not about the price in your own ads but the MSRP, or the average price across retailers, or anything similar that depends on your competitors. Are you required by law to price match?
- lightedman 7y ago
  No, you are not, because it is a SUGGESTED price. You can walk into a Wal-Mart, see a First Act guitar where the box clearly says "MSRP $99" and you'll see $129 on the actual shelf price tag below the item.
Gunax 7y ago
What about accidents? I think morally we should agree that there is a difference between fraudulent pricing and price errors. Are you actually in violation if you accidentally advertise or label an incorrect price?
- lightedman 7y ago
  https://www.nist.gov/pml/weights-and-measures/us-retail-pricing-laws-and-regulations-state https://www.nist.gov/pml/weights-and-measures/us-retail-pric... Some states, yes, even for a minor glitch in pricing.
AdamJacobMuller 7y ago
> Federal laws written JUST FOR THEM This isn't because the airlines were/are particularly egregious about false advertising, but, because the cost of a ticket is a particularly complicated equation and what, exactly, should be required to be included in a displayed price needed to be harmonized across the entire industry and I would perhaps argue needs to be harmonized further. E.g. Delta sells a ticket on a route for $500 all-inclusive. Southwest advertises the same ticket for $300 but doesn't include $300 in taxes/fees/surcharges/whatever in that price. The Southwest ticket is more expensive but in the absence of standardization of what must be included in the advertised price, neither is inherently right or wrong. The whole system there probably requires some updating now too, with some carriers now doing things like not including any checked baggage, or not including reserved seating.

nothrabannosir 7y ago

This conversation is not about the price in your own ads but the MSRP, or the average price across retailers, or anything similar that depends on your competitors. Are you required by law to price match?

lightedman 7y ago
No, you are not, because it is a SUGGESTED price. You can walk into a Wal-Mart, see a First Act guitar where the box clearly says "MSRP $99" and you'll see $129 on the actual shelf price tag below the item.

Gunax 7y ago

What about accidents? I think morally we should agree that there is a difference between fraudulent pricing and price errors. Are you actually in violation if you accidentally advertise or label an incorrect price?

lightedman 7y ago
https://www.nist.gov/pml/weights-and-measures/us-retail-pricing-laws-and-regulations-state https://www.nist.gov/pml/weights-and-measures/us-retail-pric... Some states, yes, even for a minor glitch in pricing.

AdamJacobMuller 7y ago

> Federal laws written JUST FOR THEM This isn't because the airlines were/are particularly egregious about false advertising, but, because the cost of a ticket is a particularly complicated equation and what, exactly, should be required to be included in a displayed price needed to be harmonized across the entire industry and I would perhaps argue needs to be harmonized further. E.g. Delta sells a ticket on a route for $500 all-inclusive. Southwest advertises the same ticket for $300 but doesn't include $300 in taxes/fees/surcharges/whatever in that price. The Southwest ticket is more expensive but in the absence of standardization of what must be included in the advertised price, neither is inherently right or wrong. The whole system there probably requires some updating now too, with some carriers now doing things like not including any checked baggage, or not including reserved seating.