Which business practice is considered anti-competitive?

The practice considered anti-competitive is the sharing of markets among competitors. This approach typically involves agreements between competitors to divide markets or customers, which can limit competition and harm consumers by leading to higher prices, reduced product quality, and less innovation. Such behavior often raises legal concerns under competition laws, which are designed to promote fair competition and prevent monopolistic practices.

In contrast, strategic partnerships, market research, and joint ventures are generally viewed as legitimate business activities. Strategic partnerships can enhance efficiencies and market reach without inherently diminishing competition. Market research is a tool for understanding consumer behavior and market conditions, helping businesses compete more effectively without infringing on competitive practices. Joint ventures, while they may bring about collaboration between businesses, are often scrutinized based on their structure and practices. However, they are not inherently anti-competitive unless they involve elements of market sharing or collusion.