Friday, December 2, 2011
Groupon under investigation by UK
The British Office of Fair Trading (OFT) confirmed Friday it was continuing to investigate Groupon's UK business to determine whether the daily deals website had violated consumer protection laws.
The OFT initially launched the probe in July following dozens of complaints received in relation to Groupon's trading practices.
Officials are trying to determine whether Groupon's business model violates fair pricing standards in the UK with various tactics such as "time-limited" offers.
According to the findings of a study posted on OFT's website as part of the investigation, "certain pricing techniques when used in a misleading way can result in consumers making purchasing decision they would not have made were prices more clearly advertised, or to spend more than they need to."
The office said the review of Groupon, which is registered as MyCityDeal Limited in the UK, is ongoing. The OFT will decide whether any laws were broken once the investigation is complete
Read more: http://www.nypost.com/p/news/business/groupon_under_investigation_by_uk_mRs6PTcugyuZlgOVBtlFLI#ixzz1fOpCDCtN
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