Just out of interest I looked up the rules for sales in the UK;
"In the UK, the sale of goods is governed by several laws and regulations designed to protect consumers and ensure fair trading. Key rules related to sales, especially when goods are offered at a lower price, include:
1. **Consumer Protection from Unfair Trading Regulations 2008**:
- Prohibits misleading commercial practices, including false claims about discounts or price reductions.
- Sellers must not deceive consumers about the nature or extent of a sale or discount.
2. **The Consumer Rights Act 2015**:
- Ensures that goods sold are of satisfactory quality, fit for purpose, and match the description.
- If goods are sold at a discount, they must still meet these standards unless explicitly stated otherwise.
3. **Pricing and Sale Signage Rules**:
- Prices must be clearly displayed and accurate.
- If an item is reduced, the original price must be shown alongside the sale price, so consumers can see the discount.
4. **Misleading Price Indications**:
- It's illegal to falsely inflate the original price to make a discount appear more significant (known as "price fixing" or "artificial inflation").
- Any sale price must be genuine and not misleading.
5. **The Price Marking Order 2004**:
- Requires traders to display the selling price clearly and prominently.
- Also covers the display of unit prices to help consumers compare products.
6. **Restrictions on Promotional Offers**:
- Offers must be genuine and not mislead consumers about the availability, duration, or conditions of the sale.
**Summary:**
In essence, when offering goods at a lower price, UK law mandates transparency, honesty, and clear communication. Sellers must avoid misleading practices, ensure prices are genuine, and properly advertise discounts. Consumers are protected against false claims and unfair practices through these regulations.
If you're a seller or consumer seeking detailed advice, consulting the specific legislation or legal advice may be beneficial."
I think about 1998 UK and the EU banned Retail Price Maintenance (RPM).
Prior to that manufacturers and importers would set a Recommended Retail Price (RRP), if retailers undersold, the supplier could and in the case of larger retailers often did refuse to supply them.
There was no law as such to support this action but having to sell at RRP would be in the suppliers small print.
This in effect controlled a retailers profit per item.
Of course, large outlets could negotiate deals at special RRP and I think supermarkets were the main offenders at quoting an original price far above the RRP and then offering a sale price lower.
Once supermarkets became sufficiently powerful, they started to, and still do, tell manufacturers they (the manufacturer) are going to fund a sale, meaning the supermarket is going to pay less per unit, (to offer it at a sale price) at no loss of profit to the supermarket.
The manufacturer may decide to stand the loss or to take value out of the goods until the sale is over.
I did notice on the news, when Trump started his tariffs game, the reporter was trying to put some background into Trump's arguments.
In doing so, he mentioned high priced Trainers, they interviewed a US manufacturer who was complaining, what with wages and energy costs he could not compete against imports at a $1 per pair!