The competition watchdog of the United Kingdom is investigating whether Amazon is harming competition and hurting consumers by giving an unfair advantage to the merchants that are paying for extra services.
The formal investigation of the Competition and Markets Authority (CMA) of UK said that it will be looking into concerns that Amazon is abusing its dominance to undermine rivals, and more similar investigations carried out by the executive commission of the European Union and antitrust agency of Germany.
Amazon said it will be working closely with UK CMA during the investigation. The company said, they believe they have always worked hard to provide help to small businesses selling on Amazon to succeed, which is in their best interests. Amazon also said, they remain very proud of the continued support they provide to the small business of all sizes across the United Kingdom.
As Amazon supplies some of the products that it is selling online, and many other are from the third-part retailers and merchants, and also provides them with essential services to make sales. The CMA of the United Kingdom said, it will consider whether the company gives an unfair edge to the merchants using optional services that cost extra, including packaging, delivery and storage.
