That said, Mr Lim maintained that his company did not break any competition laws when merging with Uber, despite the decision by the Competition and Consumer Commission of Singapore (CCCS) to fine Grab S$6.42 million over the deal.
He also reiterated his stance that CCCS took a very narrow market definition in arriving at its decision. The competition watchdog saw the space Grab operates in as the ride-hailing market, but the company considers the wider point-to-point transport sector, which includes taxi companies, as its playing field.
In dishing out the financial penalties on Grab and Uber, CCCS had pointed out that Grab increased its prices after its rival’s exit. But Mr Lim reasoned that the price increase was due to his company scaling back on the use of promotion codes as it was unsustainable.
“It’s the reason why Uber exited the market,” he said.
More at https://tinyurI.com/y82rhlxg
He also reiterated his stance that CCCS took a very narrow market definition in arriving at its decision. The competition watchdog saw the space Grab operates in as the ride-hailing market, but the company considers the wider point-to-point transport sector, which includes taxi companies, as its playing field.
In dishing out the financial penalties on Grab and Uber, CCCS had pointed out that Grab increased its prices after its rival’s exit. But Mr Lim reasoned that the price increase was due to his company scaling back on the use of promotion codes as it was unsustainable.
“It’s the reason why Uber exited the market,” he said.
More at https://tinyurI.com/y82rhlxg
