Federal Competition Authority Investigates Foodora
10 Articles
10 Articles
The Austrian Competition Authority (BWB) has opened formal proceedings against online food delivery platforms, including the presumed market leader Foodora, for alleged abuse of dominant position. The authority found that restaurants were placed in an excessively vulnerable position, and also criticized the companies' exclusivity contracts and unilateral sanctioning practices, Der Standard reported.
The Federal Competition Authority comes to the conclusion that Lieferando and Foodora sometimes lead to precarious contractual clauses. Both services share the domestic market, but other providers struggle with significant barriers to entry.
BWB has opened an investigation into the suspicion of abuse of a dominant position.
Best price clauses, gag contracts, high barriers to access for competitors: After an industry investigation, the Federal Competition Authority is now launching investigations against large food suppliers in Austria. They are said to have abused their market power.
According to the Austrian competition authority, restaurants may have become overly dependent on large delivery platforms.
The delivery service now provides more than just food. Federal Competition Authority investigates suspicions of abuse of market power in new investigations.
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