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December 22, 2005

Was it Really a Costco Victory?



Maybe, but it may prove to be a hollow one. While the press is reporting a Costco victory in the summary judgment rulings, we see signs of serious problems in Costco’s strategy.

The two big aces in the hole that distributors have: 1. The 21st Amendment, and, 2. The general reluctance of judges to disrupt the entire economic structure of an industry with the stroke of a pen.

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