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Technology Stocks : Advanced Micro Devices - Moderated (AMD)
AMD 236.45+5.8%11:55 AM EST
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To: fastpathguru who wrote (241962)10/6/2007 1:13:52 AM
From: Sarmad Y. HermizRead Replies (1) of 275872
 
>> Again with this BS. Around and around we go, with some people never learning.

Coke was told to END ITS EXCLUSIONARY PRACTICES, COMPLETELY.
<<

Not never learning. How about occasional forgetting. Anyway, you are right. Coke was told to quit the tailored rebates.

But now I am wondering, is Intel accused of using tailored rebates ? Or tailored marketing funds ?

luc.edu

The E.U. courts generally condemn loyalty rebates by dominant firms as unfair and as
an impediment to normal price competition. 13 Specifically, the Court of First Instance
has found that a company abused its dominant position when the company pursued a
pricing policy based on rebates, or other financial benefits, where one of its main
objectives was to maintain its market share.14 The Court specifically noted that such a
loyalty rebate is contrary to Article 82 EC, as such a rebate is designed to prevent
customers from obtaining their supplies from competing producers.15
Coca-Cola was offering rebates to its customers to maintain, at the very least, that
customer’s historical purchase balances. The European courts would likely have found
such rebates to be loyalty in nature. Therefore, the Commission would have enjoined
such conduct, and almost certainly, levied fines upon the Company.
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