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Predatory Bidding

Definition

Predatory bidding occurs when a manufacturer bids up the prices of inputs or resources to a level that prevents competitors from being able to purchase inputs or resources and sell end products at a profitable price. The practice can force competitors out of business because they are unable to acquire the necessary resources at a sustainable price.

Related Rules


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Weyerhaeuser Co. v. Ross-Simmons Hardwood Lumber Co.