Page 7 - Simply Electronics Grey Market Article

Diagram 2: Source: A K P M G Study I n Cooperation With The Anti - Gray Market Alliance 2002

Overwhelmingly authorised distributers placed manufacturer’s warranty as their major concern when goods
are bought through the grey market (Diagram 2).

Positive

Grey market goods however force product prices down because the movement of grey market goods zeros out
arbitrage opportunities. Moreover, as local manufacturers face competition from imported grey goods, they
have to bring prices down to stay competitive in the market place. This could be seen as a method of
smoothing global pricing.

Timeline of SE Case

The first interaction with SE occurred on the 16 of June 2016. Having Googled GoPro cameras, one of the
th
suppliers produced was Simply Electronics Limited (Diagram 3).