Re: Party rakeback
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j
if affiliates were to collude, that would be a very difficult thing to enforce amongst themselves. i can keep a secret, and maybe some affiliates can too. [img]/images/graemlins/smirk.gif[/img]
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Well one thing that is different here is I believe explicit collusion would be legal whereas is is illegal for U.S. corporations selling in similar markets. It would be hard to enforce the agreements, and the more affiliates there are greater chance someone will defect. That's why if Party limits itself to a limited amount of affiliates, then I believe this type of collusion (implicit or explicit) is possible and may be even probable. All it takes is for one large affiliate to show the other what is at stakes if someone decides to cheat in one period to increase their profits and steal the some of the other affiliate's business away.
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