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I'm pretty sure we also have laws against "dumping" (flooding the market with under-priced goods as a way to drive out the competition) that aren't predicated o
by twobyfour 9y ago
I'm pretty sure we also have laws against "dumping" (flooding the market with under-priced goods as a way to drive out the competition) that aren't predicated on dominant market position.
- hidenotslide 9y agoPlease provide a source if you have one. Dumping usually refers to the international trade context, I don't see how it could be applied in this case.
- twobyfour 9y agoYou're right. Apparently "dumping" is the wrong term here. It's a subset of "predatory pricing"[1], which is regulated and which Uber is arguably engaging in: Pricing below your own costs is also not a violation of the law unless it is part of a strategy to eliminate competitors, and when that strategy has a dangerous probability of creating a monopoly for the discounting firm so that it can raise prices far into the future and recoup its losses. [1] https://www.ftc.gov/tips-advice/competition-guidance/guide-antitrust-laws/single-firm-conduct/predatory-or-below-cost https://www.ftc.gov/tips-advice/competition-guidance/guide-a...