South Korea’s competition authority announced on Monday its intention to initiate a comprehensive examination of the e-commerce industry. The objective is to scrutinise the market landscape and address competition concerns amidst the escalating number of online shoppers, ensuring equitable business practices.
According to a report by the Yonhap news agency, the Fair Trade Commission (FTC) outlined plans for a preliminary four-week market study, commencing on Tuesday. This phase aims to gather feedback from stakeholders, relevant associations, and consumers, and review analogous research conducted by the European Union, Britain, and Australia.
Following this, the regulator will finalise the research scope and methodologies, proceeding with an investigation into major e-commerce entities both domestically and internationally. The aim is to publish a comprehensive report by the year’s end.
“The e-commerce market profoundly impacts people’s daily lives, and given the rapid market changes, a thorough analysis is imperative,” stated the FTC. “The increasing reliance on a select few operators has raised concerns regarding fair business practices and potential consumer harm.”
“The comprehensive market analysis will enable us to proactively address competition and innovation challenges,” it continued, according to Free Press Journal.
The value of online transactions has surged from 190.2 trillion won in 2021 to 209.9 trillion won in 2022 and further to over 227.3 trillion won last year, as per the report’s findings.
(Finance World and The Free Press Journal have published the article under a mutual content partnership arrangement.)
