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Predatory pricing refers to a practice where a dominant firm deliberately sets its prices below cost to eliminate or deter competition. This below-cost pricing strategy is often used to drive competitors out of the market or discourage new entrants. This would then allow the dominant firm to raise prices, recoup its losses, and increase its market share and market power. For such conduct to violate antitrust laws, there needs to be a strategy to eliminate competitors, monopolize the market, and recoup its losses.
Predatory pricing can harm competition, but quantifying the harm related to predatory pricing practices can be challenging. Clients rely on Econ One’s antitrust experts for their ability to assess the impact of anticompetitive predatory pricing and their ability to deliver comprehensive expert reports and expert testimony before courts and regulatory agencies.
Econ One’s economic experts and consultants have extensive experience working on predatory pricing cases across a wide array of industries. Our deep understanding of complex economic theory, paired with our proficiency in handling large datasets, empowers us to produce clear, convincing expert reports and testimony, making Econ One a trusted partner in navigating the complexities of predatory pricing antitrust litigation.