favoritkarteller

Favoritkarteller is a term used to describe a situation in business or economics where a group of companies colludes to manipulate the selection of preferred suppliers or service providers. This often occurs in procurement processes where bids are solicited, but the outcome is predetermined. Instead of genuinely competing, the participating firms agree to take turns being awarded contracts, or they may agree to submit bids that are intentionally non-competitive, ensuring a predetermined winner.

The purpose of a favoritkartell is typically to maintain stable, predictable profits for the members of the cartel by eliminating genuine competition. This can lead to inflated prices for the contracting party and reduced quality of goods or services, as there is no incentive for innovation or efficiency. This practice is illegal in most jurisdictions and is considered a form of anti-competitive behavior or antitrust violation. Regulatory bodies often investigate and prosecute such cartels to protect market fairness and consumer interests. The enforcement mechanisms usually involve fines, legal sanctions, and sometimes even criminal charges for individuals involved. Identifying favoritkarteller can be challenging as the collusion often occurs through informal agreements or subtle manipulation of tender processes.