There are certain behaviors by businesses that can make it impossible for other companies to fairly compete with them. Many such practices, like establishing a local monopoly by acquiring all competing businesses, violate state and federal antitrust laws.
Sometimes, a business proves successful initially because customers or clients are happy with what the company has to offer. It may quickly become one of the dominant players in the local market.
However, inappropriate behavior on the part of other organizations eventually results in the company’s market share declining substantially.
Driving competitors out with pricing can be unfair
Competitors sometimes cooperate in an attempt to push a newcomer or highly-successful business out of the local market. Such conduct may lead to business litigation brought under antitrust laws.
When multiple other businesses agree to manipulate prices, the resulting price-fixing scheme can lead to those companies pushing a previously successful business out of the local market. Price fixing is an example of unfair competition that violates antitrust laws. By manipulating local prices, companies eliminate competition and can then raise prices as they see fit later.
Especially when coupled with defamation attempts, such as leaving anonymous negative reviews online or badmouthing the business to people face to face, attempts to artificially undercut local prices can lead to the targeted company faltering or failing. Those who uncover signs of price fixing, such as all competitors maintaining the same standard pricing that is below market rate, may need to take legal action.
Pursuing a business lawsuit can help hold competitors accountable for the damage that unfair competition can cause. A successful lawsuit could lead to an injunction against similar behavior in the future or compensation for damages already incurred.