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Afterschool Depot: Plan Development Issues - Assignment Example

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The act was intended to combat the business trusts of the American economy during the nineteenth century. It is evident that even now the Sherman act is the bedrock of antitrust…
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Afterschool Depot: Plan Development Issues
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Download file to see previous pages The federal laws are enforced by both public and private parties. As for the public enforcement, the government is involved in the process. This is where the Federal Trade commission (FTC) is responsible in investigating and litigating cases under the Sherman Act. Private enforcement is evident where anyone injured in his business property has the right to go at the courts to seek justice under the federal laws. Federal laws prohibit per se offences. This involves various form of agreements among competitors which tend to be harmful to competition and the customers. The offenses are regarded as per se illegal because they result in customers harm (Zeldin, 2006).
Price fixing is one of the offenses under the per se offences. It entails an agreement among competitors to lower, raise and stabilizing of the price range offered for their product or services. It is apparent those competitive terms that competitors don’t agree to include shipping fee and warranties to discounts directly or indirectly affect prices. Price fixing can affect Afterschool Depot channel policies if its competitors undercut the prices in a way that the company cannot be able to cover its costs (Zeldin, 2006).
Federal laws also prohibits bid rigging, it involves coordinated conduct that undermines the bidding process. Due to this federal law that prohibits bid rigging Afterschool Depots will be force to set and submit quality bids so as they can get a particular contract. A market allocation is also prohibited by the federal laws. It involves where the businesses are not competing for customers. This will influence the Afterschool Depot’s channel policies as they will embrace the selling of the mobile kitchen product to various customers. This is because the law does not embrace sale territories among companies (Zeldin, 2006).
Strategic alliances are critical in any business objective. Cost ...Download file to see next pagesRead More
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