3Com has spent the last few years identifying its gray market
exposure and working on ways to reduce it.
There are two main reasons that could be causing the low demand for iPhone X in China's gray market
This contractual, self-regulatory response to gray markets
would ensure that ethical drugs in short supply are not price "churned" through the gray market
distribution chain, but instead result in higher revenues for the manufacturers while ensuring the integrity and safety of the ethical drug supply chain and avoiding fallout from "price gouging" accusations against the gray markets
The gray market
can stimulate competition and benefit the consumer--the purchaser receives a lower-priced good and this benefits consumer welfare [Nolan-Haley 1983, p.
In some countries, sale of gray market
goods is allowed under trademark law but protection under copyright laws may be available, while in other countries both criminal and civil protections are available for the trademark owner to prevent third parties from importing parallel goods,
The gray market
controversy first developed in 1923 when the Supreme Court affirmed the prohibition of gray goods in the U.S.
"We've seen various instances where the Apple iPhone or Samsung Galaxy S4 is available cheaper through official channels than through gray market
operators with the added advantage those official stocks carry a full manufacturer's warranty.
Copyright was also a questionable legal issue in the gray market
So far gray market
operation has remained as illegal but not unsafe, but it may not remain so for ever.
While such inflated prices may sound like gouging, prosecuting "gray market
" wholesalers has proved to be a difficult task since many operate in Southern states where laws are lax.
"The swapping is happening in the gray market
, but I have too much to lose," adds Knight.
[paragraph] At stake is the future of so-called "gray market