CASE COMMENTS : UNILATERAL PRACTICES - PREDATION - COST RECOUPMENT - DISCRIMINATION

Predation - Cost recoupment: The French Competition Authority confirms its decisional practice on cost recoupment in predation cases (Chep France)

*This article is an automatic translation of the original article, provided here for your convenience. Read the original article. Aut. conc. dec. no. 09-D-33 of November 10, 2009 relating to practices implemented by Chep France in the rental and management of plastic bins and pallets. The Competition Authority considers that a dominant undertaking cannot rationally engage in a strategy of predation if the erosion of its market share and the low barriers to entry mean that it will not be able to recover in the long term the loss of profits or losses initially incurred in the first phase of the predation. The question of the possibility of recouping losses occupies an important place in the debates surrounding the qualification of certain pricing strategies of firms as predatory.

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Author

  • Côte d’Azur University, GREDEG (Nice)

Quotation

Frédéric Marty, Predation - Cost recoupment: The French Competition Authority confirms its decisional practice on cost recoupment in predation cases (Chep France), 10 November 2009, Concurrences N° 1-2010, Art. N° 30227, pp. 102-105

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