Recommended retail price
Producers or manufacturers of consumer goods do not, unless an agreement has been registered under the restrictive trade practices Act, have the power to control the price charged by an independent retailer. They do, however, attempt to circumvent this by recommending a price at which the product should be sold and by advertising this price as ‘recommended’. If goods are introduced to the public by a manufacturer’s advertisement which gives a suggested price, it will be difficult for the retailer to sell at a figure above that stated. Although he can always sell below it. The advertised price is referred to commercially as the recommended retail price or the manufacturer’s recommended price (M.R.P.).
Reference: The Penguin Business Dictionary , 3rd edt.