Washington – The Computer & Communications Industry Association (CCIA) has voiced concerns regarding the Mexican competition authority’s (COFECE) preliminary report on competition in the e-commerce retail market. The report highlighted that Amazon and Mercado Libre collectively dominate 85 percent of the Mexican market.
In response, CCIA criticized COFECE's market definition, stating that it overlooks the fierce competition between e-commerce platforms and brick-and-mortar stores, as well as the omnichannel competitive dynamics of the retail market. CCIA cautioned against imposing corrective measures solely on Amazon and Mercado Libre, emphasizing that these actions could have adverse effects on Mexican consumers and potentially benefit larger retailers.
CCIA Vice President of Global Competition and Regulatory Policy, Krisztian Katona, emphasized the importance of focusing on consumers and protecting them from anticompetitive practices. Katona expressed concerns that the proposed corrective measures in COFECE's report may ultimately harm Mexican consumers while favoring established retailers over e-commerce giants.
Katona highlighted the transformative impact of e-commerce on the retail industry, noting that the emergence of digital players has prompted traditional retailers to adopt innovative solutions, resulting in lower prices and increased options for Mexican consumers. He argued that targeting only two e-commerce platforms fails to acknowledge the complexities of the omnichannel retail market and the significant contributions of other players.
CCIA, with a longstanding commitment to advocating for technology policies that promote competition and innovation, remains steadfast in its stance on safeguarding consumer interests and fostering a diverse and competitive marketplace.
