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Retail sector inquiry into the sale in non-specialized stores with food, beverages and tobacco predominating

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Pursuant to Article 47 of the Law on Protection of Competition, the Commission for Protection of Competition of the Republic of Serbia (CPC) has conducted a retail sector inquiry into the sale in non-specialized stores with food, beverages and tobacco predominating. The sector inquiry was launched in 2017 and completed and published in January 2019. The inquiry was triggered by the high relevance of this trade segment for the overall national economic activity given, primarily, the relevant macroeconomic indicators. A significant number of changes and acquisitions in the previous period and a relatively few complaints received were some of the main factors indicating the necessity of carrying out the inquiry into this market. Therefore, the main purpose of the inquiry was to conduct a comprehensive economic and regulatory analysis of the dynamics of competition in order to better understand the market concerned. The subject of the inquiry were the relations between market competitors at the local, regional and national levels in terms of their market share and relative power, as well as the relations between suppliers and trade chains, and possible effects of those relations on market competition. Additionally, the subject of the inquiry was to examine the role and importance of private label branding. The inquiry report also includes recommendations to competent authorities and undertakings themselves, among which is the need to establish a public trade register that would considerably facilitate the monitoring of this trade segment in the coming period.

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