Cartel

Definition of Cartel

From the point of economics, cartel is an agreement where competing firms grab the authority of controlling price of or try to restrain any new competition to enter in the market. It defines an organization which decides o fix selling prices, purchase prices, or deduction of production with a variety of tactics.

Books on Cartel

Book 1 –

Cartel By Edward Jay Epstein (published by the University of California)

Book 2 –

Cartels at War: Mexico's Drug-Fueled Violence and the Threat to U. S. National Security By Paul Rexton Kan (published by Potomac Books, Inc., 2012)

How Cartel works?

In most recent affairs, the example of cartel can be seen between Unilever and Procter & Gamble, who have committed crimes of fixing prices of washing powder in eight European countries. The European commission has taken the case in their hands after a tip off of Germany company, resulting the penalty of €315 million fine, divided as Unilever (€104) and Procter & Gamble (€211).

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