Regulatory convergence -II

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The second concern within the product definition and pricing set is whether
channel "bouquets" can be priced at steep discounts relative to the prices
charged for individual components of each bouquet, which is the current
practice in areas in which CAS has been implemented. From a regulatory
perspective, this is price discrimination, because the bouquet pricing is
not based on any cost differential. There has to be a reasonable tariff for
individual channels, which operators are mandated to offer. Once this in
place, their discounting practices for bouquets should be left to them. The
other three sets of issues are service quality, technological development
and limits to advertising time. The service quality issue is again closely
related to the fragmentation of ownership and the disincentive this creates
for investment in high-quality equipment and manpower. From a long-term
perspective, the regulator has the option of setting the prices of the
wholesale and retail margins in a way which induces integration between the
two.

Source:
http://www.business-standard.com/today/story.asp?Menu=26&story=33398