It is true that companies operating pricing strategies in the supply chain may be used to crowd out competitors, but such actions may involve legal risks, especially anti-monopoly and unfair competition regulations. The following is a detailed analysis： --- ### **1. Possible means of crowding out** -**Predatory pricing**: Companies temporarily sell products at prices below cost to force underfunded competitors to withdraw from the market, and then increase prices. This behavior is considered illegal in many countries (such as the United States and the European Union). -* *Vertical restrictions**: For example, upstream suppliers sign exclusive agreements with downstream distributors that require them to purchase only from specific companies, thereby cutting off competitors' supply channels. -**Price discrimination**: Provide differentiated prices or terms to different customers (such as competitors in the same market) to weaken the competitiveness of competitors (subject to anti-monopoly exemption conditions). --- ### **2. Legal risk and compliance boundaries** -**Anti-monopoly laws and regulations**： -**China's "Anti-monopoly Law"**: It is forbidden to abuse market dominance (such as dumping at low prices and unfairly high prices), and vertical monopoly agreements (such as fixed resale prices) are prohibited. -**International regulations**: The U.S. "Sherman Act" and the European Union "Competition Law" both strictly restrict similar behaviors, and violations may face huge fines (such as the EU's billions of euros in penalties for Google). -**Reasonable defense**: Companies need to prove the legitimacy of their pricing strategies (such as cost changes, short-term promotions), but the burden of proof is heavier. --- ### **3. Actual case** -**Case 1**: In 2021, the China General Administration of Market Supervision fined a cement enterprise group 450 million yuan because it fixed the downstream selling price through an agreement to exclude competition. -**Case 2**: A U.S. court has ruled that Apple and publishers conspired to raise the price of e-books, constituting a monopoly. --- ### **4. Compliance advice** -**Evaluate market position**: If the company's market share is high (such as more than 15%), it is necessary to design a pricing strategy more carefully. -**Avoid express agreements**: Avoid direct mention of the intention to crowd out opponents in communication with supply chain partners. -**Consult legal advice**: Conduct an antitrust compliance review before implementing differentiated pricing or supply chain terms. --- ###**Conclusion** Although it is theoretically feasible to crowd out competitors through supply chain pricing, in reality, it is necessary to balance business objectives with compliance risks. It is recommended that companies prioritize efficiency competition (such as cost optimization and innovation) rather than strategic pricing to win the market.