Alleged Anticompetitive Practices in Hotel Industry

In El Salvador the Crowne Plaza, Real Intercontinental, Sheraton and Hilton President Princess are under investigation for allegedly fixing prices.

Wednesday, November 21, 2012

A statement by the Superintendence of Competition (SC) reads:

The Superintendence of Competition (SC) has initiated an investigation against four hotels for the allegedly engaging in anticompetitive practices by having agreement between competitors to fix prices of food services for events. This practice could affect and alter the conditions of competition for food and hotel services accordingly to purchasers of these goods.

The SC is investigating the Crowne Plaza, Real Intercontinental, Sheraton Presidente and Hilton Princess for committing an alleged agreement between competitors to fix prices for coffee breaks at $ 10 per person and packages for seminars / corporate lunches and coffee breaks at $32 per person.

In August this year, the Superintendent requested a number of quotes for conducting in events during Competition Week 2012 and from this it was identified that in four of them the prices offered for the food service for the events were identical.

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El Salvador Hotels: Price Fixing Allegation Dismissed

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The Superintendency of Competition has stated that there is insufficient evidence to determine alleged anticompetitive practices due to price agreements between four hotels in offers to the state.

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