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I think the issue here is not if the AD can give a discount on a particular watch, but what are the consequences for future supply of watches to that AD.
I believe that US law prohibits trade agreements that specify a retail price. Therefore, AD's can price the merchandise any way they like.
If the factory is not happy with the dealer's pricing policy, nothing prohibits them from refusing to sell certain more profitable models (i.e. Speedmasters or Daytonas) to that AD.
Omega tends to allow their AD's some latitude with respect to discounting. Rolex does not.
gatorcpa
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