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Competition Commission fines Trendyol

  • July 11, 2023
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As part of the investigation that the Competition Authority had initiated against Trendyol in 2021, the company has presented an oral defense today. After the defense In the

Competition Commission fines Trendyol

As part of the investigation that the Competition Authority had initiated against Trendyol in 2021, the company has presented an oral defense today. After the defense In the Trendyol study The delegation’s decision was clear.

The Competition Council’s Investigation Board concluded that Trendyol was abusing its dominant position and providing an unfair advantage to its retail business by using competitor data. It was decided to impose a fine on Trendyol. This penalty will be processed if Trendyol does not fulfill its obligations.

Decision of the Commission of Inquiry on Trendyol:

trendyol

As a result of the findings and evaluations made, the Delegation found that Trendyol disrupted the algorithm, gave an unfair advantage to its own activities by using the data of third-party vendors selling on the market, and that these actions interfered with the activities of its competitors more difficult.

Trendyol was informed that these situations violated Article 6 of Law No. 4054 on the Protection of Competition. Trendyol has listed several obligations to fulfill:

  • Avoiding interference with private label products (Private Label), which it carries out through its own marketplace (www.trendyol.com), through algorithms and coding that will give it an advantage over its competitors,
  • Avoiding the use of any kind of data obtained and produced/derived from the marketplace activity for private label products related to retail activities and taking all kinds of technical, administrative and organizational measures to ensure this,
  • The parametric and structural changes made to the algorithm models used for sorting products and filtering brands over 2 (two) years within the range of market activity, with a version and an undeniable accuracy,
  • Keeping all codes belonging to the algorithms used for product sorting and brand filtering within the scope of market activity, as well as all codes affecting the algorithms used for product sorting and brand filtering filtering brands, with a version and an undeniable accuracy for 2 ( two years,
  • Maintain user access and authorization records and manager audit records for all software used for the execution of business processes within the scope of market activity for 2 (two) years, the accuracy of which cannot be denied,
  • The fulfillment of the obligations referred to under a, b, c, d, e within a reasonable period of time after notification of the reasoned decision to the company,
  • Submit the harmonization measures he has drawn up to the institution at the latest one month before the deadline allotted to him.
  • Submit a report to the Agency periodically during a period of five years from the implementation of the first compliance measure and once a year.

Trendyol risks daily administrative fines if it does not comply with these obligations in a timely and complete manner.

How much fine can the railways get?

The following statement in Article 16 of Law No. 4054 explains the possible amount of the fine:

“Those who commit acts prohibited in articles 4, 6 and 7 of this law shall be punished by the company and associations of undertakings or the members of these associations formed at the end of the financial year preceding the final decision or, if it is not possible to calculate it, at the end of the financial year closest to the date of the final decision, and an administrative fine of up to ten percent of their gross annual income will be imposed by the board.

The oral defense of sahibinden will take place tomorrow:

Source: Web Tekno

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