Case Study | Title: Himalaya Drug Company: Anti-Competition - GRM Institute

Case Study | Title: Himalaya Drug Company: Anti-Competition

Himalaya Drug Company: Anti-Competition

 

Content of the study:

  1. Introduction of the concept Anti-Competition.​
  2. Various Anti-competitive practices.​
  3. Himalaya Drug company – A case study on their anti-competitive activities.​
  4. About Amul and its empowerment elements​
  5. Factors making Amul an ethical company over its competitors.​

 

Anti-Competitive Practices

 

The term anti-competitive practice refers to business or government practices that restrict or reduce trade or competition in a given market.  Examples of anti-competitive practices include price fixing, bid rigging, boycotts, and tying agreements.​

India’s antitrust law, The Competition Act, 2002, was fully constituted on March 1, 2009 – replacing the Monopolistic and Restrictive Trade Practices Act of 1969. The Competition Act monitors any economic activity that monopolizes competition within the market; it aims to protect consumers and small enterprises and ensures the freedom of trade.

Various Anti-competitive practices:

 

  1. Bid Rigging:  Includes agreements between competitors or suppliers that specify how much to bid or when to bid.
  2. Boycotts: Typically includes joint agreements between competitors to not do business with certain competitors, trade partners, or customers.
  3. Disparagement:  making false claims or statements about a competitor.
  4. Tying: Agreements between a trade partner and customer that “tie” the purchase of one product or service to an unrelated product or service.
  5. Dividing Territories: Agreements between customers, suppliers, or companies to allocate geographies, customers, or products and services.
  6. Dumping: Includes the sale of a product or service at a loss in a competitive market, with the intent to force competitors out of the market.
  7. Exclusive Dealing: Includes arrangements whereby a retailer or wholesaler purchases from a supplier with the understanding that no other distributor will receive supplies in a given geography.​
  8. Price Fixing:  Includes agreements between competitors to establish prices, the rate or level of production.
  9. Unethical Collection of Business Intelligence: Includes the use of unlawful or unethical means such as theft, spying, or bribery to collect information about a business.

 

Disclaimer

Views and opinions expressed by the individuals in this case study is only for research purpose. The copyright of the content solely lies with the main research owner, links to which are added at the end of the case study.

 

Read the complete case study here: Case Study on Himalaya Drug Company; Anti-competition

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