Effectiveness of Trading Regulations Through Electronic Systems as an Effort to Prevent Predatory Pricing in Indonesia
DOI:
https://doi.org/10.31941/pj.v23i3.4764Abstract
TikTok has various creative video content, such as comedy, tutorials, dance, and more. The TikTok application also has a TikTok Shop feature specifically designed for businesses. Still, the increasing use of TikTok Shop has triggered criticism from conventional merchants because many have lost buyers due to TikTok Shop and the Indonesian Government. This is due to predatory pricing practices carried out by TikTok Shop. Predatory pricing is the practice of monopolizing the price of goods to drop prices and harm competitors. This study aims to analyze the effectiveness of the Minister of Trade Regulation Number 31 of 2023 in dealing with predatory pricing in TikTok shops. This research is a normative juridical research using a statutory and historical approach and descriptive data analysis. The results of the study, according to Lawrence M. Friedman's legal system theory, to see whether or not a relationship is effective need to be seen from three elements, namely the structure of law, the substance of the law, and legal culture. Minister of Trade Regulation No. 31 of 2023 has a legal substance that separates e-commerce from social media to overcome predatory pricing and the invasion of cheap foreign goods. However, removing TikTok Shop may create a void in material laws related to electronic commerce in Indonesia, especially if certain aspects related to predatory pricing still need to be comprehensively covered. Special supervision involves the authorities monitoring and guaranteeing clear information from online stores and supports the formation of trusted guarantors. The government is expected to formulate effective regulations to regulate similar applications.Downloads
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