Question

In the context of fair and unfair competition practices under commercial law, which of the following scenarios best describes unfair competition?

• A. Company A introduces a new product with superior quality and increases its prices compared to that of its competitors.
• B. Company B spreads false rumours about the safety of Company A‘s products to dissuade customers from purchasing their products.
• C. Company C advertises its products using catchy slogans and creative marketing techniques to attract more customers than its competitors.
• D. Company D reduces its prices temporarily in a predatory way to match those of its competitors during a seasonal sale event.

Hint:

Unfair competition involves deceptive practices like spreading false information to harm a competitor.

Answer 1

The Correct Option is B

Spreading false rumors about a competitor’s products constitutes unfair competition, as it misleads consumers and harms the competitor’s reputation.