March 23, 2005

South Korea Gov't Goes After Big Retail

JoongAng Daily reports:

E-Mart was fined 220 million won; HomePlus, 120 million won, and Carrefour, 99 million won. Lotte Mart and Wal-Mart received orders to correct their dealings with their subcontractors.

According to the antitrust agency, E-Mart, HomePlus and Wal-Mart returned goods worth 1.8 billion won to their subcontractors without a reasonable explanation.

It also said Carrefour and HomePlus took advantage of ambiguity in their arrangements with their subcontractors to force them to do whatever they wanted, such as set up displays.

Separately, the agency also said E-Mart and Lotte Mart was guilty of false advertising.

WM looks pretty clean compared to its competition...

Posted by Kevin on March, 23 2005 at 11:47 AM