cartelisation
kar-tuh-li-ZAY-shun
Definition
The act of companies in a specific industry colluding to fix prices, restrict production, or limit competition, effectively acting as a single monopoly.
Etymology
Derived from the French 'cartel', meaning a written agreement or letter of defiance, which traces back to the Italian 'cartello', a diminutive of 'carta' (paper or leaf). It evolved into a business term describing formal agreements between companies to control a market.
In the news
The article uses this term in the context of global fragrance companies, noting that authorities are investigating whether these firms engaged in price-fixing, and highlighting that past investigations into other companies yielded findings of obstruction rather than actual cartelisation.
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Read the full article ↗The Daily Brief by Zerodha