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“As one Lessor explains, while ‘we are all technically competitors’ RealPage ‘helps us work together’” “RealPage explains that for its services to be most effe

by svnt 3y ago

“As one Lessor explains, while ‘we are all technically competitors’ RealPage ‘helps us work together’” “RealPage explains that for its services to be most effective in increasing rents, Lessors must accept the pricing at least 80 percent of the time” Yeah this is collusion.

jlarocco 3y ago
"Collusion as a service." The clients have plausible deniability because how can they know if everybody else is using it, and the service provider is "just a recommendation", so they're not guilty either. If it's not ruled illegal (and it should be) then it seems like a great business model to copy in other markets.
- svnt 3y ago
  They know that it works by competitors “working together”, it doesn’t matter whether they communicate via language or through prices combined with a service that both explains how it works and dictates how they all behave.
- DannyBee 3y ago
  One piece of confusion here is that you do not actually have to prove a literal explicit agreement between the parties to be successful. While tacit collusion is not itself illegal, conspiracy is. Put another way: You can prohibit folks from agreeing not to compete, no matter what form that agreement takes. You don't have to know who you are avoiding competition with, etc However you can't order people to compete just because they aren't
- bsder 3y ago
  > "Collusion as a service." This has become a general problem with outsourcing and we really need to update the law on this. Big hotel chains outsource their housekeeping--the chain doesn't pay under minimum wage--it just bids out the contract so the contractor can't possibly win the bid without paying under minimum wage. The law needs to be updated so that fines and punishments against a subcontractor also need to be enforceable against the parent, as well.
anigbrowl 3y ago
'People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices.'

by svnt 3y ago

jlarocco 3y ago

"Collusion as a service." The clients have plausible deniability because how can they know if everybody else is using it, and the service provider is "just a recommendation", so they're not guilty either. If it's not ruled illegal (and it should be) then it seems like a great business model to copy in other markets.

svnt 3y ago
They know that it works by competitors “working together”, it doesn’t matter whether they communicate via language or through prices combined with a service that both explains how it works and dictates how they all behave.
DannyBee 3y ago
One piece of confusion here is that you do not actually have to prove a literal explicit agreement between the parties to be successful. While tacit collusion is not itself illegal, conspiracy is. Put another way: You can prohibit folks from agreeing not to compete, no matter what form that agreement takes. You don't have to know who you are avoiding competition with, etc However you can't order people to compete just because they aren't
bsder 3y ago
> "Collusion as a service." This has become a general problem with outsourcing and we really need to update the law on this. Big hotel chains outsource their housekeeping--the chain doesn't pay under minimum wage--it just bids out the contract so the contractor can't possibly win the bid without paying under minimum wage. The law needs to be updated so that fines and punishments against a subcontractor also need to be enforceable against the parent, as well.

anigbrowl 3y ago

'People of the same trade seldom meet together, even for merriment and diversion, but the conversation ends in a conspiracy against the public, or in some contrivance to raise prices.'