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Minimum price that the wholesalers can charge

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Reference no: EM131437413

The energy division of Walexron developed a new oil that will be sold to wholesalers. The vice president of marketing asked you to review the four pricing proposals submitted by the marketing teams.

Walexron should set a minimum price that the wholesalers can charge.

Walexron should set a maximum price that the wholesalers can charge.

The wholesalers can charge any price they want within a certain range; if they charge a higher price, they must give the customer a rebate or coupon for the differential.

The wholesalers can charge any price they want, but if they advertise a price that is less than Walexron's specified minimum advertised price, the wholesalers are not entitled to receive the marketing funds that Walexron provides to wholesalers that do not advertise prices that are less than the specified minimum.

What are the legal pros and cons of each marketing proposal? What additional information do you need to adequately respond to the vice president?

Reference no: EM131437413

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