Guitars: anti-competitive practices 50565-3
| Case Outcome | CA98 - infringement Chapter I |
| Decision Date | 17 April 2018 |
| Date | 17 April 2018 |
| Subject Matter | CA98 and civil cartels |
| Court | Competition and Markets Authority (EW) |
Decision of the Competition
and Markets Authority
Online resale price maintenance in the
guitar sector
Case 50565-3
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Confidential information in the original version of this Decision has been redacted from the
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Contents
Introduction and Executive Summary .................................................................... 5
Glossary ......................................................................................................... 7
Investigation ........................................................................................................ 11
Facts .................................................................................................................... 17
Addressees .................................................................................................. 17
Fender Europe ......................................................................................... 17
Fender US ............................................................................................... 17
Guitar sector overview ................................................................................. 18
UK guitar sector ....................................................................................... 18
Fender Europe’s involvement in the UK guitar sector .............................. 19
Other UK guitar suppliers ......................................................................... 20
UK MI resellers ........................................................................................ 20
Fender Europe’s sales and distribution network ...................................... 22
Importance of internet sales as a retail channel to the MI sector ............. 24
Fender Pricing Policy ................................................................................... 25
Introduction .............................................................................................. 25
Origins, scope, content and duration ....................................................... 29
Monitoring and enforcement of the Fender Pricing Policy ........................ 41
Illustrative examples of Fender Europe’s monitoring and enforcement .... 51
Consequences for MI resellers of non-compliance with the Fender Pricing
Policy ....................................................................................................... 63
Fender Europe’s awareness about illegality of implementing and enforcing
the Fender Pricing Policy ......................................................................... 71
Market Definition .......................................................................................... 78
Purpose of and framework for assessing the relevant market ................. 78
Relevant product market .......................................................................... 79
Sales to different distribution channels .................................................... 80
Relevant geographic market .................................................................... 83
Conclusion on market definition ............................................................... 84
Legal Assessment ............................................................................................... 84
Introduction .................................................................................................. 84
Undertakings ................................................................................................ 86
Key legal principles .................................................................................. 86
Conclusion on undertakings ..................................................................... 86
Agreement and/or Concerted Practice ......................................................... 86
Key legal principles .................................................................................. 87
Agreement ............................................................................................... 87
Concerted Practice .................................................................................. 90
Agreement and/or concerted practice between Fender Europe and
[Reseller 1] ............................................................................................... 91
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