Road transport's competitive streak The spotlight cast on Mercedes-Benz and
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three of its dealers for flouting competition laws has given the entire industry cause for uneasy concern The ruling by the Office of Fair Trading (OFT) on MercedesBenz and three of its dealers for flouting competition laws shows just how precarious competition is when it comes to road transport.
Companies selling their wares, whether it be traction or tractors, have to cut their cloth accordingly. Operators constantly tell CM that recommended retail prices, such as those listed in the new vehicle road tests, bear little resemblance to what is eventually settled on.
And herein lies the problem: if an operator shops around, they will eventually rub up against someone who knows who the operator previously bought from, and that can lead to collusion (whether intentional or not).
In retail sales the gentlemen's agreement is not to "piss in another man's pocket for a quick buck", as it were, because it usually comes back to haunt you.
Trade has collectively loosened its sphincter now the OFT has allowed the parties involved to "draw a line under the matter and move on", but there are still some concerns that the spotlight might fall on others.
That point was made clear by the OFT when it said it "can uncover cartels even in cases where the businesses involved do not blow the whistle", while also offering an olive branch to "businesses acting quickly and co-operating at the earliest opportunity so as to qualify for immunity from fines".
Laurie Dealer understands that fellow OEMs and their dealer networks could be independently investigated — without the benefits of a whistleblower — to see if there is any common practice before the OFT truly calls it a day. In a statement from Mercedes-Benz to commercialmotor.com, the business said it "regrets the incident and has learned a lot from it". One can only wonder if others will do so as well.