Shrieker wrote:I wonder what other track promoters are up to these days. Surely, I wouldn't have liked the idea of some other race offering double the points of mine. The track promoters should unite and protest this. At the very least they'll have leverage for lower fees, and the poison dwarf will be forced to cave in if the income increase from the last race does not compensate for reduced fees elsewhere.
They don't have any leverage. First of all they are all individual identities who on their own have very little power towards the FOM. Second they are competitors towards eachother, which the FOM plays out. And lastly they are bound to contractual lines that limit their juristical manueuvrability. Their contracts probably also end mostly in a different year, making a boycot nearly impossible in the near future.
The one thing they can do is start to plan ahead: they unite under a single banner, stipulate a common year as end for the next individual contract and use that as leverage. It'll take years to reach that point, but when that specific year comes near, the FOM, or the next commercial holder, will face track holders together able to stop further cooperation and leaving the commercial holder with having to find 20 new tracks next year.
The FOM is a typical a monopolistic supplier utilising perfect price discrimination on the track market. It seperates all the demanders, revels the contracts in secrety, and gets the highest price possible from each demanders, usurping the full demand surplus. It's one of those things causing dead weight loss in F1.