Discussion Topic:

In chapter seven, the opening story explained how Apple’s contract with book publishers gave them a unified front to approach Amazon to demand higher prices for their e-books. The Department of Justice leaped into the fray and ultimately forced the publishers to back down. Suppose that the Department of Justice had not been so quick to act. What actions could Amazon’s managers have taken to preserve their bargains with the publishers? What is the overall impact to consumers? Provide one other example of a company that operates within a cartel or oligopoly. How do you know this company is part of a cartel or oligopoly? Be specific!