Don’t Block Geoblocking

Joe Kennedy June 9, 2016
June 9, 2016

Geoblocking is the practice of altering the availability or price of a product depending upon the location of the consumer. Countries such as Australia have argued that such practices unfairly penalize their citizens, especially when it comes to digital goods. In Innovation Files, Joe Kennedy shows why these practices often make sense. They protect the domestic market for nondigital alternatives such as books and records. Products often come with services and other costs that differ by country. Finally, geoblocking lets companies offer lower prices to consumers whose demand is very elastic. These practices often have a progressive effect.