I remember some teacher at school saying that selling something below cost was illegal in Germany. Unfortunately I don’t know if that is true and I never got to ask him about consoles.
Could have made a huge difference on the console market if enforced.
A quick Google suggests selling at a loss in order to undercut competition is illegal, but selling at a loss to be a loss leader, or as a temporary sale (e.g. to clear inventory) is allowed. And apparently this is why Walmart failed in Germany; undercutting competitors until they go out of business is their primary tactic.
I remember some teacher at school saying that selling something below cost was illegal in Germany. Unfortunately I don’t know if that is true and I never got to ask him about consoles.
Could have made a huge difference on the console market if enforced.
A quick Google suggests selling at a loss in order to undercut competition is illegal, but selling at a loss to be a loss leader, or as a temporary sale (e.g. to clear inventory) is allowed. And apparently this is why Walmart failed in Germany; undercutting competitors until they go out of business is their primary tactic.
So German supermarkets can’t sell us €4 rotisserie chickens at a loss just for the foot traffic? Damn.