A Study On The Legal Regulation Of Predatory Pricing

Today, with the market competition becoming more and more intensified, the competition of commodity price has already become the normal competition phenomenon among enterprises. In order to attract consumers and earn more market portions, some enterprises often exclude their opponents from the market by means of selling their products in a much low price. However, some dominant enterprises sell their products in particular markets with prices lower than cost prices during certain periods. And these enterprises will raise prices greatly to gain monopoly profit after monopolizing the market. This is predatory pricing which will be discussed in this paper. This action not only directly violate the competitors' fair trading right of the same sectors, undermine the fundamental principles of competition and market competition order, but also indirectly harm the legitimate interests of consumers. Although predatory pricing has begun to emerge in our economic life in recent years, this issue has not been studied theoretically and it did not arouse the public attention in practice. Therefore, the research on predatory pricing has positive significance both in theory and in practiceThis paper consists of four parts.The first part: the definition of predatory pricing. This part introduces the concept and characters, difference between predatory pricing and some similar concepts, as well as the composing elements, defining exactly predatory pricing.The second part: the economic analysis of predatory pricing. This part analyzes the relations among predatory pricing, the self-pricing right, the competition of price and monopoly from the review of economy. And the different opinions of two major academic groups about whether predatory pricing should be preserved or abolished will also be reviewed. Then it is explained that predatory pricing violates the competitors' right of fair trading, injures the consumers' interests, and undermines the market competition order.The third part: the legal analysis of predatory pricing. This part analyzes the predatory pricing from legal aspects, which contains four parts: the first part is the purpose of the legislation of predatory pricing; the second one is to deeply analyze the nature of predatory pricing based on the branch law, and put forward predatory pricing is...