General Motors fined in China for price fixing

General Motors

The automotive industry is so big that many times it becomes complicated and in some cases even difficult to understand. The major car manufacturers are present in the most important markets in the world and the struggle that they pound for being the most sold it is very strong. Reach the top positions rankings sales is very complicated and do not fail often commit indiscretions which may come out more expensive than initially anticipated.

General Motors is one of the car manufacturers of the world’s largest and is in markets so important as China. This country is one of the greatest vehicles consumes of the many brands that sells the conglomerate american. However, General Motors next to its local partner SAIC seems to have performed some other maneuver to negotiate the prices of their cars.

General Motors

As we all know the pricing is to incur any unfair competition and therefore joint venture that both firms were created to operate in the country shall be fined. The amount you will have to meet by engaging in this conduct has been established on the 201 million yuan, or what is the same about us $ 29 million to the change.

According to the agency that regulates the prices in Shanghai both General Motors as SAIC agreed to establish minimum prices for the models of Cadillac, Buick, and some of the brand Chevrolet. For this situation, the competitive position of both firms was altered in the market by making consumers be forced to pay a higher price than they would have received had not changed the prices.

all, both General Motors as SAIC have reported that they respect deeply the laws and regulations of the country and will help to clarify this situation.

Source – Automotive News