Amazon was Investigated by German Authorities

Following complaints from traders about Amazon’s business practices, the Federal Cartel Office has initiated an abuse case against the US Internet retailer. Among other things, it deals with possible abusive business practices on the German marketplace “amazon.de”, said the Bundeskartellamt (Federal Cartel Office) on Thursday in Bonn.

Specifically, the focus is on liability rules at the expense of the traders, non-transparent terminations and blockages of accounts as well as withheld or delayed payments. Prerequisites for the antitrust investigation are, inte alia, a dominant position of the Internet Group and the fact that the dealers are dependent on Amazon. “There are indications for both,” the statement said. Amazon was initially unable to reach an opinion.

On the basis of European antitrust law, the European Commission has already begun investigations on Amazon, which are primarily about the collection and use of so-called transaction data by Amazon, according to the Bundeskartellamt. While the Commission is mainly investigating the use of data by Amazon at the expense of the marketplace dealers, the Bonn authority is focusing on the terms and conditions and practices with regard to dealers in the German marketplace.

“Amazon is itself the largest online retailer and the company operates by far the largest online marketplace in Germany. Many dealers and manufacturers rely on the reach of the Amazon marketplace for online sales, “said the President of the Federal Cartel Office, Andreas Mundt.

Amazon acts as a kind of “gatekeeper” (gatekeeper) to customers. The dual role as the largest retailer and largest marketplace would raise the potential for disability from other merchants on the platform. After many complaints available to the Bundeskartellamt, it is now being examined whether Amazon will exploit its market position at the expense of the active dealers in the marketplace, Mundt announced. The goal is to comprehensively review the terms and conditions and practices of Amazon with respect to the merchants.

Hülya Karahan:The Founder

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