Fair Trade Laws: Many states have fair trade laws which allow the manufacturer of a product to make agreements with retailers and distributors about how to price the product. If you live in one of these states, you may have to price your products with that in mind.

Manufacturer's Suggested Prices: This is a little different from fair trade laws. The manufacturer tries to protect the quality image of its product, or the profit margins of its retailers, without the aid of fair trade laws. So you may have to price your product according to a schedule suggested by the manufacturer.

Nationally Advertised Prices: As a retailer or distributor, you can often get away with undercutting the prices that manufacturers advertise in national media. It is very difficult to charge more than that, however, regardless of how well you can justify it from an expense point of view.


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