In 1993, the municipal owned utility serving Gainesville, Florida threatening to build 23-km railway incentive to connect their coal plants with signs of Norfolk / Southern Railroad. The railroad is now the delivery of coal, CSXT, announced a significant increase in the rate will come into effect at the end of the current five-year contract and refused to let the Norfolk / Southern Railway, which offers a lower price, to use songs in CSXT supplying coal to the plant. CSXT reacted to the threat of utilities for creating spurs by reducing its proposed increase in speed and utility now had to decide whether to proceed with or to spur a new proposal CSXT. This case can be used to discuss the barriers to entry in the market, and response of public policy. HKS Case Number 1299.0 "Hide
by Jose Gomez-Ibanez 16 pages. Publication Date: January 1, 1995. Prod. #: HKS198-PDF-ENG
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