Explain Monopolizing of a Competition Act
Explain Monopolizing of a Competition Act?
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The Act also prohibits certain types of conduct by a monopoly or very powerful, dominant firm that are contrary to the public interest. In particular, it bans four types of pricing practices:-
1. Discriminatory pricing: A seller makes it a practice to knowingly discriminate between purchasers in terms of prices.
2. Regional price discrimination: A seller charges lower prices in one region than elsewhere with a view to eliminating competition.
3. Predatory pricing: A seller temporarily reduces prices to an unreasonably low level with the intent of driving away competitors.
4. Resale price maintenance: A supplier of goods attempts to control their retail price.
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