Fixed Book Price In France Essay

706 Words 3 Pages
1) Historical background
In mid1970, FNAC, the biggest cultural retail chain dived into book industry and started selling book with a significant amount of discounts, which conventional bookstore couldn’t afford. In this context, French government started to discuss the importance of regulating the price of books, and they took into action of the fixed price of book to achieve the idea of greater acceptance that cultural diversity and national unlikeness should be maintained and encouraged by pursuing cultural policy more actively. Based on this idea, the form of UNESCO's Universal Declaration on Cultural Diversity has played a significantly important role in French cultural policy and French-language cultural research. The French Fixed
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Under the lead of Jack Lang, the Minister of Culture, France, legalized a firm fixed book price regulation to protect their local bookstores. According to this regulation, publishing companies present the list price of books at the first stage. From this fixed price, the retailers such as bookstores and supermarkets can discount only up to 5%. This was done to protect local book stores against the market encroachment of the global giant bookstore companies such as FNAC. As a result of the fixed book price regulation, France became the world’s number one country in terms of bookstore portion and the healthy publishing infrastructure; there are about 3500 traditional bookstores, including about 800 bookstores unrelated to any publishing and retailing franchises. In addition to the fact that the law has been protecting small and medium-sized bookstores in the commercial competitive market, this regulation has contributed to preserving identity and protecting diversity by focusing on support creativity, publishing and a healthy book retail system. The Fixed book price regulation is considered a hidden contributor in making France one of the top 5 publishing countries with a market size of 4.5 billion

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