Need to study California State anti-trust law - Free service strategy


Sunflower leaf showing the branching pattern of the transport pathway structure. 


"State governments engaging in governmental functions cannot violate federal antitrust law."


"Thus, one special aspect of the immunity for state action is that states can effectively fashion their own exemptions from federal antitrust law..." 

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Came across a very interesting Wired Magazine article about the rise of "free"as an Internet marketing strategy and business structure.


You can look at marketing "carts on the public bus" in two ways:

One approach is to say buses need anti-trust or anti-competitive practices exemption to deal with the conventional claim that carts on the bus "steal business from other carriers because the service is offered below cost"


An alternate approach is to explore making "carts on the public bus" somehow "free". 


"Free" type marketing depends on a subtle shift between what is free, what is sold and who is the buyer.


For freight carts, the thing sold might be the connecting taxi, connecting jitney, connecting delivery service, the grocery service that fills a shipping container and dispatches it to the customer via the bus system and the connecting delivery robot.






Here is the URL to the wired article:


http://www.wired.com/techbiz/it/magazine/16-03/ff_free?currentPage=all


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One of the problems that must be solved in order to draft an approach to seeking a anti-trust exemption or to develop a "free" service is there needs to be a compelling statement of the public purpose being served.



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