Application of pricing algorithms as a challenge for contemporary competition law Cover Image

Stosowanie algorytmów cenowych jako wyzwanie dla współczesnego prawa antymonopolowego
Application of pricing algorithms as a challenge for contemporary competition law

Author(s): Filip Wiaderek
Subject(s): Law, Constitution, Jurisprudence
Published by: Wydawnictwa Uniwersytetu Warszawskiego
Keywords: competition law; algorithmic pricing; the prohibition on restrictive agreements; algorithmic decision-making; pricing algorithms; tacit collusion; parallel practices; hub-and-spokes arrangements

Summary/Abstract: In the following paper, the author elaborates on the challenges that today’s competition law has to face with regard to the more and more common use of algorithmic technics by the entrepreneurs, particularly in the field of pricing process. After providing a brief definition of the most fundamental terms, a structural analysis is performed of anticompetitive practices that are facilitated by algorithms. Instances investigated by the author have been assigned into three groups, distinguished according to relations between the entities taking part in a particular practice. The described models are of various complexity and pose different threats to the state of competition. The author made an attempt to draw the line between the cases which fall under the scope of currently enforceable competition law provisions and those to which competition agencies do not apply appropriate tools. In the next part of the paper, the author presents a case study of the so called lex Uber – an Act of the Polish Parliament intended to regulate the passenger transport market in Poland in the light of the rise of modern transportation services, e.g. provided by Uber or Bolt. In the author’s opinion, the enacted provisions may result in inconsistencies with competition law. In the last part of the paper the author suggests possible legal solutions that should safeguard competition on the markets where using algorithmic solutions is still more and more common.

  • Issue Year: 2020
  • Issue No: 86
  • Page Range: 305-328
  • Page Count: 24
  • Language: Polish