The competition watchdog has alleged that the UK arm of a global golf brand, whose products are favoured by the likes of Lee Westwood and Bubba Watson, has breached the law by operating an online sales ban.
The Competition and Markets Authority concluded that Ping Europe Ltd has prevented retailers from selling its products online.
Ann Pope, the CMA’s senior director responsible for the case, said: “Where traditional businesses operating through high street shops face intense competition from online sales, suppliers may be tempted to respond by introducing practices, like online sales bans, that can restrict such competition.
“Bans on internet trading can be a problem if they seek to prevent retailers reaching a significant proportion of customers. We will now consider any justifications put forward by Ping for the alleged conduct.”
A statement from the CMA said its findings are “provisional” and no final conclusion has been reached. Ping now has an opportunity to respond to the CMA’s concerns.
Full Content: Financial Times
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