28 November 2022
Amazon to be investigated by CMA
The CMA (Competition and Markets Authority) has launched an investigation into Amazon. This new investigation follows a current European Commission probe looking into similar concerns, which does not cover ongoing issues affecting the UK now that it has left the European Union.
Some of the products on Amazon’s Marketplace are supplied through its own retail business. However, a large proportion are supplied by third-party sellers. Amazon provides services to these sellers, including those that are essential to make sales, such as matching sellers with consumers. It also offers optional services that incur additional fees, such as Amazon’s ‘Fulfilment by Amazon’ service. This handles some aspects of the sales process, including storage, packaging, and delivery.
The Competition and Markets Authority’s (CMA) investigation will consider whether Amazon has a dominant position in the UK and whether it is abusing that position and distorting competition by giving an unfair advantage to its own retail business or sellers that use its services, compared to other third-party sellers on the Amazon UK Marketplace.
BIRA would like to hear from retailers who believe that they have been affected by the way Amazon operates its market place, especially in the area of product alternatives being supplied by Amazon. If you would like to discuss this issue please contact the BIRA CEO at: andrew.goodacre@bira.co.uk
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