The Bangkok Post reports that AP Honda Co, the local Honda motorcycle distributor, had violated the Trade Competition Act by adopting special conditions to force sales agencies to sell only its brand, the Trade Competition Board ruled yesterday.
Go deeper with GlobalData
Discover B2B Marketing That Performs
Combine business intelligence and editorial excellence to reach engaged professionals across 36 leading media platforms.
The newspaper said that commerce Minister Adisai Bodharamik, who chaired the board meeting, said the decision was based on the findings of a subcommittee that investigated the case, following a complaint lodged in November 2001 by distributors of Suzuki, Yamaha and Kawasaki motorcycles.
He said AP Honda was found to have exerted its market power to restrict opportunities of other distributors.
As well, he said, the company’s practices affected the freedom of sales agencies and blocked business opportunities for new players.
He said Honda’s practice also limited opportunities of consumers in choosing products.
According to Mr Adisai, the sub-committee would gather more evidence over the next two weeks before a decision could be made on prosecuting the company.
