Alibaba, Meituan Summoned by Chinese regulator for unfair competition ahead of D...

Alibaba, Meituan Summoned by Chinese regulator for unfair competition ahead of Double 11 shopping festival

Alibaba, Meituan Summoned by Chinese regulator for unfair competition ahead of Double 11 shopping festival

7 hours ago

Chinese local market watchdog summoned Alibaba, Meituan, Viopshop along with 14 other major e-commerce platform for their unfair business practices ahead of the double 11 shopping festival.

Detail:

The Guangdong Administration for Market Regulation accused the e-commerce companies of unfair competition and warn them to rectify various irregularities and unfair including selling fake products, false advertising and poor after-sales services.

The provincial market watchdog held an administrative meeting to gather the 16 e-commerce companies, requiring them to roll out a compliance management system and solve issues as soon as possible. The companies were asked to stop forcing merchants to participate only one platform as their exclusive marketing channel, an unfair business practice commonly known as pick one from two practices.

The move aligns with the Ministry of Industry and Information Technology, which has routinely informed e-commerce companies to protect consumer rights during major shopping festivals.

China’s largest e-commerce platform Alibaba booked a gross merchandise value of more than CNY80 billion for the first wave of Double 11 this year, which is 50 percent higher compared to the same period last year.

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