Historically, prisstriden has been common in Baltic and Scandinavian retail sectors, notably during the late 1970s and early 2000s. Major Swedish supermarkets, such as ICA, Coop, and bemanncentral, have engaged in repeated price‑cutting campaigns targeting staple goods and seasonal products. The competition intensified when discount chains like Lidl entered the country, prompting higher‑tier stores to match lower price points. Similar dynamics played out in the telecommunications industry, where Swedish providers lowered tariffs to win subscribers amid a surge of new mobile operators.
Economic consequences are mixed. In the short term, consumers benefit from lower prices and increased affordability. In the long run, sustained price cuts can lead to reduced profits, prompting mergers, closures, or increased reliance on non‑price competitive advantages such as product quality, service innovation, or brand loyalty. Small and emerging firms are particularly vulnerable, as they lack the buffer to sustain repeated price reductions and may exit the market.
Regulators monitor extreme prisstriden that could lead to anti‑competitive outcomes. In Sweden, the competition authority enforces the "price fixing" rule that prohibits collusive pricing agreements between firms. While a price war is generally considered a legitimate competitive tool, coordinated price reductions are unlawful under the Swedish Competition Act. The regulator also scrutinizes situations where a dominant player drives market entrants out through relentless price cuts, potentially resulting in a monopoly.