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KembaraXtra – Legal Terms – Predatory Pricing
Predatory pricing is the practice of selling goods or services at extremely low prices in order to drive competitors out of the market.
It is most commonly associated with businesses holding a dominant market position.
Under UK competition law and Article 102 of the Treaty on the Functioning of the European Union, predatory pricing may amount to an abuse of dominance.
Competition authorities may impose fines or other penalties on companies engaging in such conduct.
The practice is viewed as harmful to fair competition and consumer welfare in the long term.
Predatory pricing is the practice of selling goods or services at extremely low prices in order to drive competitors out of the market.
It is most commonly associated with businesses holding a dominant market position.
Under UK competition law and Article 102 of the Treaty on the Functioning of the European Union, predatory pricing may amount to an abuse of dominance.
Competition authorities may impose fines or other penalties on companies engaging in such conduct.
The practice is viewed as harmful to fair competition and consumer welfare in the long term.
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