Target price
The target price is the economic one in many industries occurring preliminary price for products to their pricing , the pricing is not yet fixed safely.
General
The target price is non-binding and therefore only serves an orientation function. It is mainly used by companies when essential calculation bases such as cost price , cost price or the profit margin are not yet certain. It therefore does not need to be adhered to when selling. Is, for example in the automotive industry for a new vehicle model whose batch size (circumference of the amount produced) is not fixed, so the possible can reduce costs from the law of mass production not be conclusively. If the target price later turns out to be correct after a reliable calculation, it usually becomes a fixed price .
Individual industries
In the common agricultural policy of the EU there was a target price set by the EU Council of Ministers for each of the main types of grain (wheat, barley, rye, maize) . It was seen as a producer price desirable from an agricultural policy point of view and was determined by the community organs at the beginning of each marketing year and set in its amount before August 1 for the grain marketing year beginning the following year (August 1 - July 31). It signaled the suppliers and buyers the EU's target price level on the grain markets . On the one hand it represented the maximum price for grain, on the other hand it guaranteed the farmers a secure income. From this target price, the EU derived minimum prices at which the planned intervention agencies had to purchase the products at the intervention price, which was well below the minimum price. A radical change began in the funding year 1993, price supports were reduced, and intervention prices still exist.
The target price in retail is a price that is recommended by the manufacturer, an upstream sales organization or a trade association and is usually demanded from the consumer for a similar product .
Legal issues
In terms of competition law , the term target price can represent misleading advertising for the consumer ( Section 5 (1) No. 2 UWG ), because this can be understood as the retailer's own fixed price , a recommended retail price or a list price . In principle, the manufacturer's price recommendations, i.e. recommendations as to the price at which the goods should be sold, are prohibited (“recommended target price”). According to normal usage, “recommend” does not refer to a binding order , but to a suggestion or advice. The manufacturer's recommended retail prices are only permitted for the resale of branded articles under certain conditions. Comparative advertising with the expression “target price” per se, i.e. without the addition of the words “recommended” or “binding”, is considered to be inadmissible due to the misleading or risk of deception, as is the comparison of the offered sales price with the “recommended target price” if the Anyway, the manufacturer is the only retail company to deliver only to the advertiser. The recommended target price must not represent an arbitrary size, but must be calculated by the manufacturer on the basis of a conscientious examination of the factors determining the price, i.e. reflect the reasonable consumer price after the manufacturer's serious calculation.
Individual evidence
- ↑ Verlag Dr. Th. Gabler, Gablers Wirtschaftslexikon , Volume 5, 1984, Sp. 1053 f.
- ↑ Willi Albers (ed.), Handwortbuch der Wirtschaftswwissenschaft , Volume 1, 1977, p. 93
- ↑ Thomas Geppert, EU Agricultural and Regional Policy , 2012, p. 110
- ↑ Peter Schotthöfer (Ed.), Handbook of Advertising Law in the EU States , 1997, p. 232
- ^ BGH, judgment of December 7, 2006, Az .: I ZR 271/03
- ↑ BGH GRUR 1966, 327 - Target price advertising I
- ↑ BGH GRUR 1966, 686
- ↑ BGHZ 45, 115
