BUSINESS ABROAD: Enemies of Free Enterprise

A few months ago a customer walked into Horace Mendelsohn's auto-accessories shop in Stockport, near Manchester, England and bought two motorcycle tires, paying seven shillings, sixpence ($1.05) below the list price. Three days later, Cut-rater Mendelsohn learned that his "customer" was a private investigator for the British Motor Trade Association. He got a summons to appear before the association's Price Protection Committee on a charge of price cutting. The committee, a private court staffed with lawyers paid by the association, weighed Mendelsohn's case carefully, penalized him by putting his shop on the "Stop List." Thenceforth, no wholesalers who belonged...

Want the full story?

Subscribe Now

Subscribe
Subscribe

Get TIME the way you want it

  • One Week Digital Pass — $4.99
  • Monthly Pay-As-You-Go DIGITAL ACCESS$2.99
  • One Year ALL ACCESSJust $30!   Best Deal!
    Print Magazine + Digital Edition + Subscriber-only Content on TIME.com

Learn more about the benefits of being a TIME subscriber

If you are already a subscriber sign up — registration is free!