HP set to receive clearance for retail price management of online store

HP New Zealand should be allowed to engage in resale price maintenance, according to the Commerce Commission – but it remains open to being convinced otherwise. 

HP is set to open its own online stores and sell direct to consumers through marketplaces and in March sought permission to engage in resale price management (RPM) by specifying the prices for which a third-party distributor will sell HP products to consumers on the HP Stores. 

The commission has reached the preliminary view that authorising RPM, in this case, would likely lead to a net public benefit and plans to grant authorisation for five years.

Interested parties now have the opportunity to make submissions on the commission’s preliminary decision until August 20. 

In its decision, the Commission said it considers the HP stores are likely to provide many of the customer-experience benefits claimed by HP, while the RPM for which HP seeks authorisation is unlikely to cause any detriments and will only apply to products sold through the HP stores.

HP, which does not currently sell direct to consumers in New Zealand, plans to launch an e-commerce platform in New Zealand, which would be run by a distributor. 

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