Morocco’s Competition Council Tames Glovo’s Market Power
Glovo, the food delivery giant owned by Delivery Hero, has reached an agreement with Morocco’s Competition Council, bringing an end to a legal dispute that has been ongoing for over a year. The settlement involves Glovo paying an undisclosed fine and implementing significant changes to its operational practices within the country, as reported by Launch Base Africa. This deal, announced on July 24th, concludes an investigation into potential abuse of its dominant position in the Moroccan delivery market.
Glovo’s Operational Overhaul in Morocco
The Competition Council had previously raised concerns about Glovo’s business practices, specifically accusing the company of enforcing exclusive partnerships with restaurants and fostering economic dependence. To address these concerns, Glovo is now mandated to eliminate all exclusivity clauses in its contracts with restaurants. Furthermore, the agreement stipulates that Glovo must cap its commission fees at 30% and provide transparent explanations regarding the operational mechanics of its platform.
This settlement marks a significant step towards ensuring fair competition within Morocco’s burgeoning delivery sector. By addressing concerns over exclusivity and commission structures, the Competition Council aims to create a more level playing field for restaurants and other delivery service providers in the country, ultimately benefiting consumers.
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Related Keywords: Morocco Competition Council, Glovo, Market Power, Antitrust, Competition Law, Delivery App Regulation, Morocco Delivery Market, Glovo Morocco, Competition Authority, Regulatory Action
