Share Tweet Pocket Add to Bookmarks
You're reading: Multinationals find themselves increasingly cornered by regulators


Practices that are caught by the law

Thus, the business community is advised to take a proactive approach both in ensuring that their advertising campaigns contain accurate information as to the features of their goods and/or services as well as that their product labels do not conceal certain facts that can mislead the general public. The AMC has shown itself to be more than willing to conduct full-blown investigations, with technically all industries capable of being put under the microscope. Those that are subject to particular scrutiny include pharmaceuticals, financial services as well as the food and beverage industry. Indeed, the pharmaceutical sector is being tightly monitored, with many companies having to answer to burdensome questionnaires and informational requests.

Although their marketing campaigns seem to fully comply with advertising rules, companies face a serious risk of infringing the Ukrainian unfair competition laws. The AMC is particularly wary of statements such as “the best”, “the most”, “the oldest”, “the most effective”, “no GMO” etc. Unless backed by supporting evidence, they would almost certainly be contrary to applicable laws. The regulators take the view that all information concerning the true origin of products, method of production, source, quality, suitability for use, standards, specifications, must be clearly indicated on packages and product labels. The idea is to prevent practices which may lure customers into purchasing certain goods or services that they potentially otherwise would not. The AMC has even been successful in uncovering instances where multinationals have formulated their discount policies and other essential conditions in a very opaque manner, or even completely omitted them, so as to attract new customers. In an increasingly competitive environment, it is often the case that competitors implicate one another before the regulators.

The AMC’s modus operandi

Exclusive article

Sign up or subscribe to view more articles.
See All Plans
$5.95
Monthly plan
Get unlimited article access, anytime, anywhere.

Subscribe
$60
Yearly plan
Access all the exclusive content on KyivPost.com and the complete online archive.
Subscribe
Advertisement

Add comment

Sorry, you must be logged in to post a comment.
Attention

Add a picture
Choose file
Add a quote
Attention

Are you sure you want to delete your comment?

Attention

Are you sure you want to delete all user's comments?

Attention

Are you sure you want to unapprove user's comment?

Attention

Are you sure you want to move to spam user's comment?

Attention

Are you sure you want to move to trash user's comment?

Spelling error report

The following text will be sent to our editors: