Methods of Unfair Competition Used in Practice

[Mimaktsa10]

To wage competitive wars, businessmen use different types of unfair competition. Below we list the main techniques.

Abuse of means of individualization

Article 10 of the Civil Code of the Russian Federation states that company owners do not have the right to limit competition at the legal level. In practice, this prohibition is often violated, and businessmen use influence through means of individualization that distinguish a product from similar ones.

Spreading false information that distorts reality

Unfair competition is netherlands email list conducted through distortion of data on the goods and company of the opponent. In this way, the reputation of the company is undermined, trust in the eyes of consumers falls, and financial damage is caused. It is possible to distort information about the characteristics of the product, the methods and conditions of its production, quality. However, false information about the quantity and demand for goods is illegal.

Misleading potential customers

The successful activity of any commodity organization is based on sales. If there is demand, then customers get used to the product, its quality and buy again and again. With dishonest methods of struggle, some company can release a product similar to a successful one in appearance, but with poor quality, reduced weight, different composition.

Moreover, they can copy the packaging exactly, but the contents will be different. Then a person who bought a similar product (and previously he bought only the original) will be unpleasantly surprised by the changes. Then he is unlikely to buy even the real product, the one that competitors imitated.

Unfavorable comparison of a competitor

Article 14 of the Law on Protection of Competition states that it is prohibited to compare and evaluate a competitor's product. This method is considered unfair and manifests itself in the dissemination of false information, the channel of which is usually advertising. The comparison can be negative or positive.

The first is done to highlight your product by disparaging the competitor's product. As a rule, it is done without any evidence, without any basis. Phrases like "Our product is much better than another company's" are used. Moreover, the competitor's product is not named directly, but it is clear what is being discussed.

A positive comparison is formed when a manufacturer wants to bring its product up to the good product of competitors. Phrases like "My product is as good as the product of the opposing company" are used. That is, the reputation of someone else's quality product is actively exploited. The buyer gets a false impression of the advertised product, the competitor loses profit. This happens because, firstly, people buy another product, and, secondly, the low-quality product has tarnished its reputation.