SPAIN: Coca-Cola offices raided by competition officials

By Sarah Diston | 22 September 2000

Accusations that Coca-Cola is abusing its dominant market position in Spain have resulted in offices and three of its independent Spanish bottling plants being raided by the country's competition regulators.Rivals, Pepsico and Virgin Drinks have both made complaints to the authorities claiming that Coca-Cola has entered exclusive agreements with bottling plants and distributors, offering incentive programmes for companies that refuse to stock rival products.If, the allegations are proved true and Coca-Cola has been abusing a dominant position in Spain, the European Commission has the power to fine Coke up to 10% of their global revenue.Accusations and subsequent raids by regulators are not new to Coca-Cola, there have been similar raids on the company in Germany, Austria, Denmark, and inquiries are currently taking place in Italy, Mexico and Greece.

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Accusations that Coca-Cola is abusing its dominant market position in Spain have resulted in offices and three of its independent Spanish bottling plants being raided by the country's competition regulators.Rivals, Pepsico and Virgin Drinks have both made complaints to the authorities claiming that Coca-Cola has entered exclusive agreements with bottling plants and distributors, offering incentive programmes for companies that refuse to stock rival products.If, the allegations are proved true and Coca-Cola has been abusing a dominant position in Spain, the European Commission has the power to fine Coke up to 10% of their global revenue.Accusations and subsequent raids by regulators are not new to Coca-Cola, there have been similar raids on the company in Germany, Austria, Denmark, and inquiries are currently taking place in Italy, Mexico and Greece.

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