I saw ten thousand talkers whose tongues were all broken...
MAP, or "minimum advertised price", is a common contract between manufacturers and dealers. As noted already, it means the dealer cannot advertise below a certain price, but actually can sell the product for whatever they want. There's also different types of contracts wherein the dealer purchases the product in full, versus a credit type system where the product is essentially "loaned" to the dealer and then billed for the product. That entails some type of interest charge.
Mesa/Boogie had something called "Pro Net Pricing". That meant that any dealer had to sell their product at their price, and cannot budge even a penny. This is possibly what led to the demise of the GC/Mesa relationship. I have heard other rumors about what happened. One was that Boogie was pushing GC to a strict "no return" policy on their amplifiers. Another was that they felt GC was simply inadequate at sufficiently representing the Mesa brand. I hate to spread rumors, so I say these things with the disclaimer that they ARE ONLY RUMORS. I do not know for a fact what the actual problems were.
These threads are always amusing.
Guitar Center Cincinnati
How about a little insight Ron…from the "horses mouth" so to speak… What's the inside word?
+ 10,000... Come on Ron give us the skinny!
Came across this article about GC (pre-Ares buyout) that offers a different view than most of the write ups I've seen, many which are referencing a single source (Eric Garland) which is a yellow flag to me.
It does go a little into unions, Bain, the debt and the other topics that often come up when talking about GC.
Last edited by NomadMike; 07-07-2014 at 07:50 AM.