Dumping
The dumping (of English to dump " to pile up, déblayer") indicate two commercial practices prohibited and considered as unfair within the framework of the Libéralisme.
On the one hand, it indicates the fact of selling a product at a low price with the cost price to eliminate competition. The company thus hopes to drive out one or more competitor and to make go up the prices once the driven out rival. This behavior is apprehended by the right of the competition as a pricing practice prédatoires and is regarded as an dominant position abuse, if it emanates from a company in dominant position.
In addition, in International business, the dumping is the fact of selling in another country at a low price with that practiced in the country of origin of the company. It often results from subsidies granted by the Country of origin of the goods and the State where place has consumption has the right to apply a compensation anti-dumping customs duty to defend the national producers.
The Social dumping is the fact of employing foreign employees for a remuneration lower than the average wages or the legal wages, or than social conditions less favorable to the worker than the normal conditions of their host country. This practice causes a fall of the wages (and overall costs of work for the employers).
The tax dumping consists in slightly imposing the companies on their territory to attract the foreign assets.
The ecological Dumping consists in for a territory establishing little or not environmental rules to support the local companies.
It should be noted that the resale with loss by a distributer is prohibited like unfair practice and not like infringement with the rules of competition in a strict sense. The resale at a loss is authorized in certain countries like the Denmark.
See too
| Random links: | Ernst Kraft Wilhelm Nusselt | Julius Hermann Schultes (1820-1887) | Bryton McClure | Nadine Labaki | Gerard Finch |