Competition Authority fines famous potato chip company!

Frito Lay, which owns brands such as Doritos, Ruffles, Lay’s, Cheetos, and Çerezza, has been hit with an administrative fine of 1.3 billion TL by the Competition Authority for violating competition rules.

With the decision taken against the company, new regulations have also been introduced for stands at points of sale.

The Competition Authority has concluded its investigation into Frito Lay on the grounds that it engaged in practices that hindered the sales of rival companies.

As a result of the examinations, heavy sanctions were imposed on the company, which was found to have made it difficult for rival companies' products to be displayed at points of sale such as grocery stores, markets, and kiosks.

SPACE WILL BE ALLOCATED FOR RIVAL PRODUCTS ON STANDS

According to the new regulation, at least 30 percent of Frito Lay stands in points of sale smaller than 200 square meters will be allocated for rival products. These areas will be indicated with special labeling and will include the phrase "This section is reserved for rival potato chip products."

Furthermore, in cases where rival products are not available, the allocated area will be left empty and will not be filled with Frito Lay products.

SINGLE STAND RULE INTRODUCED

The company will not be allowed to have more than one stand at points of sale. Frito Lay will be able to place a maximum of one stand at points of sale, and practices that restrict the visibility of rival companies will be prohibited.

Additionally, no financial support may be provided to points of sale outside of standard purchasing transactions.