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Armenia Fines Courier Service Globbing for Unfair Competition Practices

 |  August 5, 2024

Armenia’s antitrust regulator has imposed a significant fine on Globbing, a courier service known for its international delivery operations. On Monday, the Commission for the Protection of Competition (CPC) announced a 53 million dram penalty against the company, citing “unfair competition” related to its advertising strategies.

The CPC’s statement revealed that their comprehensive investigation in Armenia found substantial delays in Globbing’s delivery services. Specifically, they noted that at least 26% of goods shipped from China to Armenia arrived later than the company’s advertised delivery window of “5 to 10 business days.” The investigation covered a period from January 1, 2022, to April 25, 2023.

In addition to the delivery delays, the regulator highlighted inconsistencies in the terms and conditions displayed on Globbing’s website. The CPC pointed out that these contradictions contributed to the misleading nature of the company’s advertisements. Their scrutiny also included a comparative analysis of terms and conditions from other delivery services and an examination of “dark pattern” advertising — a method designed to deceive consumers.

The fine serves as a warning to other companies about the importance of truthful advertising and transparent business practices. The CPC emphasized the need for businesses to provide accurate information to consumers to foster fair competition in the market.

Globbing has not yet responded publicly to the fine or the allegations of unfair competition. The company’s future steps in addressing the regulator’s findings remain to be seen.

Source: Armen Press