How is Capacity Increased in Unfair Competition?

by Hale Nur Akdeniz

Hello, dear Elevator World Türkiye readers,

In this issue, I want to discuss unfair competition, which is one of the biggest problems of the elevator and escalator industry. I want to discuss unfair competition in this article. 

First, let’s start with the definition of unfair competition. Article 54 of Turkish Commercial Code defines unfair competition as “Deceptive or otherwise contrary to the rule of good faith and commercial practices that affect the relations between competitors or between suppliers and customers are unfair and unlawful.”

What is the Unfair Competition Committee: It is a committee established to ensure continuation of fair trade. It generally carries out activities to prevent unfair competition, protect consumers and create a fair competitive environment between businesses. 

Unfair competition is when a business competes in an unethical way that harms other businesses. These behaviors include misleading advertisements, theft of trade secrets or introducing counterfeit goods.

The Committee evaluates complaints, imposes necessary sanctions if unfair competition is detected, and carries out inspections to prevent violation of competition rules. Prevention of unfair competition is extremely important for healthy functioning of market conditions.

How Does the Process Work?

It is acceptable that our products are manufactured by competing firms with the same raw materials; however, in the event that they disrupt the market, we can make a complaint to the Committee. If the products of the complainee is detected to be indistinguishable after the Committee carries out a market research, as well as a simultaneous inspection of the complaining firm and the complainee, it can result in closing the production line, transfer of the production facility to the complaining firm, and recalling products from the market.