Anti-competitive behaviour

The competition allows the markets to offer better services and products at a low price. It is one of the key elements that support a free-market economy where efficient operators or technologies can provide favourable solutions to the customers at an acceptable rate. 

However, certain harmful practices like fixing prices, or opposing unfair prices, or manipulated sales conditions or refusing to fulfil the customers' demands, and other methods adopted by one or more sellers or organisations in a dominant position create anti-competitive behaviour, which can lead to exploitation of market resources and unfair loss to buyers. 

Some of the unfair methods adopted by organisations to restrict competition are 

• Fixing the prices or limiting production to hold the rates. 

• Dividing markets to restrict products from entering certain areas.

• Not completing the agreement (bid-rigging).

How To Spot It?

• Getting quotes from different firms offering the same discounts or price hikes by the same amount simultaneously. 

• Refusing to supply as promised.

• Using misleading/unclear terms and conditions.

• In the UK, fixing prices of goods/services, limiting production or discrimination between customers is prohibited in all kinds of agreements – formal, informal, verbal or written. Such illegal actions that negatively impact the buyers can be reported to the regulatory agencies.