The Danish Competition Council has adopted a decision concerning price coordination between members of an association of undertakings
On March 29 2023, the Danish Competition Council (DCC) adopted a decision concerning ØnskeBørn A/S (Ønskebørn). In its decision, the DCC concludes that Ønskebørn (an association of undertakings) has coordinated prices and the marketing of prices on the association’s private label products, exclusive products and non-exclusive products.
The DCC finds that this coordination constitutes an infringement of Section 6, Subsection 1, of the Danish Competition Act and TFEU Article 101(1). The DCC has ordered Ønskebørn to cease the illegal behavior and to refrain from similar activities in the future.
Ønskebørn is a Danish association of undertakings. Among other things, Ønskebørn negotiates purchasing agreements with suppliers of baby and children’s products on behalf of its members. Ønskebørn also sells baby and children’s products directly to retail customers via an online shop and distributes private label products to its members. The members of Ønskebørn are individual Danish retailers of baby and children’s products. The members own brick-and-mortar shops in Denmark. Some members have their own online shops as well. The members of Ønskebørn each own shares in Ønskebørn.
Ønskebørn and the past and current members of Ønskebørn have agreed on coordinating prices. In the period October 6th 2016 till November 21st 2018, Ønskebørn made announcements to its members concerning pricing and marketing of prices for the association’s private label and exclusive products. Ønskebørn made similar announcements on April 6th 2020 and May 7th 2020 regarding non-exclusive products. The coordination of both the prices and the marketing of prices was likely to reduce price competition among competing members of the association.
Based on the evidence in this case, the DCC found that Ønskebørn’s announcements regarding pricing and marketing of prices to the members of the association constituted an infringement of Section 6 of the Danish Competition Act and TFEU article 101.
For further information please contact Head of Unit, Louise Kastfelt, phone +45 71 51 80, e-mail email@example.com.
The decision (in Danish) will be published when issues of confidentiality have been resolved