 Officials of YMCA hold a press conference at the civic organization’s headquarters in Seoul, Thursday, accusing the maker of The North Face winter jackets of violating fair trade rules. It asked the Fair Trade Commission to investigate the company over the allegations. / Yonhap |
Seoul's Young Men's Christian Association (YMCA) said it will file a complaint with the Fair Trade Commission against North Face Korea, accusing the outdoor brand of having engaged in unfair selling practices.
It said the American company violated the fair trade rule by forcing department stores and other sales outlets to maintain the price tags set by the company, a scheme the YMCA said is aimed at keeping the price at high levels.
The civic organization has said Korean consumers pay about 50 percent more on average for products of the foreign outdoor brand than in other countries. North Face Korea has refuted the allegations.
The YMCA said that North Face, favored by middle and high school students here, has forced wholesale and retailers to sell products at prices set by the company, which is in violation of the fair trade rule.
“North Face has maintained the identical price tag of the same product at all outlets regardless of the region and store type,” YMCA said. “This shows that the company’s pricing guidelines are functioning behind the same price tag, which is part of its strategy to keep products priced highly.”
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