Predatory Pricing for E-Commerce Businesses from a Business Competition Law Perspective

Abstract

Purpose: Predatory pricing is a business strategy where prices are cut by a lot to get rid of competitors and take over the market. With the digital economy growing so quickly, this method is becoming more and more important for e-commerce companies. The goal of this study is to look at the problem of unfair pricing in e-commerce businesses from the point of view of business competition laws.
 
 Theoretical framework: This study will look at the problems with predatory pricing practices in E-Commerce companies and E-Commerce businesses.
 
 Method: In this study, a conventional legal method is used, and a literature review is used to look at secondary sources of data.
 
 Result: The results of the study show that when it comes to e-commerce in Indonesia, predatory pricing strategies like giving big discounts might help consumers right away by making prices very low. But this can make business competition unfair by causing other businesses to leave the market and stopping new businesses from coming in. Law No. 5 of 1999 forbids trading practices at a loss that hurt the public interest, especially if they are done dishonestly, against the law, or in a way that hurts business competition.
 
 Conclusion: Because of this, predatory pricing methods like these need to be closely controlled, and anyone who feels like they've been cheated should be able to tell the right people. This group has the power to punish businesses that break the rules with administrative or criminal penalties. This ensures that the Indonesian e-commerce business ecosystem is healthy and fair.Top of Form