New cases of price fixing by Samsung and LG
18.05.12
By Hwang Ye-rang
A Fair Trade Commission investigation has turned up evidence of price fixing by Samsung and LG. The two electronics giants allegedly conspired to inflate the prices of washing machines, television sets, and notebook computers between July 2008 and Sept. 2009.
With the two companies accounting for over 90% of the washing machine and flat-screen television market, including LCD sets, the price collusion was fairly easy. The method of boosting prices was also straightforward, accomplished through large reductions in incentives, gift certificates, and discounts offered to mass retailers like Hi-mart and Electronic Land, discount stores, and department stores.
The FTC announced Thursday that it was assessing penalties of 44.6 billion won ($38.7 million), including 25.8 billion won ($22.4 million) for Samsung Electronics and 18.8 billion won ($16.3) for LG Electronics.
Sin Dong-gwon,
Source: The Hankyoreh