16. Will the Colway International products be available for sale outside the Colway International stores? E.g.: Allegro, OLX, online auctions, other beauty supply stores or other online stores? If so, will there be some sort of pricing policy, for example displaying retail prices? Is it possible that someone buys products with a 40% discount and sells them on Allegro with a 35% discount?
The case is more complex than many of you think. On the one hand, we strongly oppose our products be available online on websites other than the Colway International store, which is open to each Partner and their customers. On the other hand, prohibition on the resale of the C.I. products in such a way is not possible, because of the wording of the competition and monopoly law. Therefore, we will be carefully observing the situation for some time. There is a high probability that we will duplicate the solutions that have worked in the Colway,
However, we will demand to renounce unethical practices of internal competition within the network marketing, and to display recomended selling prices. Likewise for accepting the sales on "markets" or online auctions, but again provided that no dumping prices are offered and there is no price–based competition. We are not authorised to directly prohibit such practices, but we can refuse a number of privileges to persons manifesting the behavior affecting MLM ethics, which we are not restricted from by any provisions. This includes refusing the right to passive income, or to use C.I.'s reserved trademarks and images, etc. In terms of the carrot and stick approach, if we do not use bans (stick), but also by refusing to give carrots, we can make your own trading policies within the Colway International products highly uneconomic. Binding decisions on these issues will be taken by the C.I. S.A. Management Board after the observation period.
We will pay special attention to the actions of the Colway International Partners who have been operating in shops and at auctions for a long time. It seems simple. In the case of chaos, dumping practices and unfair situations, we will start fighting with the secondary online circulation of C.I. products. And if we all are able to develop an effective compromise between the law and our internal regulations (as it is the case now in Colway), we'll try out this solution, at least temporarily.