Practical Law Glossary Item 6-502-0844 (Approx. 2 pages)
Glossary
Predatory Pricing
The practice of selling a product at a price below the cost of producing it to drive competitors out of the market or otherwise punish rivals in a way that reduces competition. Predatory pricing may violate US antitrust laws when, after reducing competition in the market, the company will likely recoup its lost profits by raising prices above a competitive level.