Definition of predatory pricing in US English:
predatory pricing
nounˈprɛdəˌtɔri praɪsɪŋˈpredəˌtôrē prīsiNG
The pricing of goods or services at such a low level that other suppliers cannot compete and are forced to leave the market.
Example sentencesExamples
- While any company could, in theory, choose to engage in predatory pricing, only a monopolist with access to significant capital reserves or to the capital market could do so with any hope of success.
- If we don't have the protection of the ban on below-cost selling, people can move in to predatory pricing, out-manoeuvring local retailers, who have invested in their communities.
- A wide variety of business practices can run afoul of Section 2, including everything from forcing business partners to sign exclusive contracts to predatory pricing.
- If a business offers free products in an effort to significantly reduce or eliminate competition, it will likely be found guilty of predatory pricing.
- He said that predatory pricing is a short-term strategy that does not deliver sustainable price competition but on the contrary it is designed to reduce competition.
- His company was in a vulnerable position because it had been subject to predatory pricing over several months.
- He said it was using profits from other routes to subsidise loss-making services: ‘There is an argument that this is predatory pricing.’