resale price maintenance: meaning, definition, pronunciation and examples
C1formal, technical, legal
Quick answer
What does “resale price maintenance” mean?
A manufacturer setting the minimum price at which retailers must sell its products.
Audio
Pronunciation
Definition
Meaning and Definition
A manufacturer setting the minimum price at which retailers must sell its products.
A commercial practice where suppliers legally require downstream retailers to sell goods at specified prices, often to protect brand image and prevent price wars.
Dialectal Variation
British vs American Usage
Differences
Both use term identically in legal/commerce contexts. UK historically used 'recommended resale price' more after RPM restrictions.
Connotations
Both negative in antitrust contexts; UK associates with pre-1960s retail, US with anti-competitive practices.
Frequency
Higher frequency in UK due to historical Resale Prices Act 1964; US uses 'vertical price fixing' interchangeably.
Grammar
How to Use “resale price maintenance” in a Sentence
The manufacturer engaged in resale price maintenance.Resale price maintenance is often prohibited.They were fined for implementing resale price maintenance.Vocabulary
Collocations
Examples
Examples of “resale price maintenance” in a Sentence
verb
British English
- The supplier was found to be maintaining resale prices.
- They maintained resale prices across all outlets.
American English
- The company enforced resale price maintenance.
- Manufacturers sometimes try to maintain resale prices.
adverb
British English
- The products were sold resale-price-maintained across regions.
- They operated resale-price-maintained consistently.
American English
- Goods were priced resale-price-maintained nationwide.
- The policy was applied resale-price-maintained strictly.
adjective
British English
- The resale-price-maintained goods were more expensive.
- A resale price maintenance agreement was discovered.
American English
- The resale-price-maintained items had uniform pricing.
- Resale price maintenance practices were investigated.
Usage
Meaning in Context
Business
Discussed in antitrust compliance meetings and supplier contracts.
Academic
Studied in economics, competition law, and marketing courses.
Everyday
Rarely used; consumers might encounter in news about big company fines.
Technical
Central term in competition law and retail management.
Vocabulary
Synonyms of “resale price maintenance”
Strong
Neutral
Weak
Vocabulary
Antonyms of “resale price maintenance”
Watch out
Common Mistakes When Using “resale price maintenance”
- Using for competitor price-fixing (horizontal), not vertical.
- Spelling as 'resail price maintenance'.
- Confusing with 'recommended retail price' (RRP).
FAQ
Frequently Asked Questions
No, but it is restricted or prohibited in many jurisdictions (e.g., EU, US) under competition law, with some limited exceptions.
RPM is legally binding minimum price set by manufacturer; RRP is suggested price without enforcement.
Higher prices and less price competition between retailers selling the same branded goods.
Rarely; some argue it protects brand prestige or supports small retailers, but authorities usually view it as anti-competitive.
A manufacturer setting the minimum price at which retailers must sell its products.
Resale price maintenance is usually formal, technical, legal in register.
Resale price maintenance: in British English it is pronounced /ˌriːseɪl ˈpraɪs ˌmeɪntənəns/, and in American English it is pronounced /ˈriːseɪl ˈpraɪs ˈmeɪntənəns/. Tap the audio buttons above to hear it.
Phrases
Idioms & Phrases
- “Price maintenance scheme”
- “RPM network”
- “fixed price chain”
Learning
Memory Aids
Mnemonic
RESALE = REtailer SALE; PRICE MAINTENANCE = price is maintained by manufacturer.
Conceptual Metaphor
Manufacturer as puppeteer controlling retailer price strings.
Practice
Quiz
What is resale price maintenance?