PRICE FIXED Meaning and
Definition
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Price fixed refers to a business practice wherein the cost of a product or service is determined and set by a company or a group of companies, typically within a particular industry. In this arrangement, the fixed price is agreed upon by the participating entities, and any deviation from this pre-determined price is prohibited. This practice is often implemented to ensure uniformity and stability within the market.
Price fixing can take various forms, including direct collusion between competitors or indirect means such as agreements or understandings. It involves the coordination of prices to avoid competition, maintain profit margins, or control the market. Price fixing can occur at different levels, such as retail prices set by manufacturers or wholesalers, or on a broader scale within an entire industry.
The intent behind price fixing is generally to eliminate price wars, maintain high profits, and exert control over market conditions. However, this practice can have negative consequences for consumers, resulting in limited choices and potentially higher prices. Price fixing is often illegal and considered an anticompetitive practice in many jurisdictions, as it restricts free market forces from operating effectively.
In some cases, price fixing may be subject to civil penalties or criminal prosecution, depending on the jurisdiction and severity of the violation. Government agencies and regulatory bodies are responsible for enforcing laws that prohibit price fixing and ensuring fair competition to protect consumers and maintain market efficiency.
Common Misspellings for PRICE FIXED
- orice fixed
- lrice fixed
- -rice fixed
- 0rice fixed
- peice fixed
- pdice fixed
- pfice fixed
- ptice fixed
- p5ice fixed
- p4ice fixed
- pruce fixed
- prjce fixed
- prkce fixed
- proce fixed
- pr9ce fixed
- pr8ce fixed
- prixe fixed
- prive fixed
- prife fixed
Etymology of PRICE FIXED
The term "price fixed" is composed of two words: "price" and "fixed".
The word "price" originates from the Old French word "pris", meaning "value, worth, or reward". It entered Middle English in the 13th century, retaining its original meaning. Later, "price" evolved to refer specifically to the cost of a commodity or service.
The word "fixed" comes from the Latin word "fixus", which means "attached" or "fastened". In English, "fixed" is an adjective that describes something that is stable, unchanging, or set.
When these two words are combined, "price fixed" refers to a situation where the cost or value of a product or service is set or established and does not change. In other words, it implies that the price is not variable or subject to negotiation.
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