Market Conduct

Posted in Marketing and Strategy Terms, Total Reads: 351
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Definition: Market Conduct

Market conduct refers to the pricing and promotion strategies followed by the players in the market in terms of their aims, objectives and decision-making process. Market conduct is, in fact, driven by regulations and policies and these policies in a way decide market performance.


In the US, the standards are decided by the Market Conduct Sourcebook known as MAR. A market conduct examination is used to verify that a particular entity is compliant with the country’s market conduct laws and seeks to benefit all its stakeholders. Some of the situations which might force a market conduct examination include:

• Misleading sales practices

• High complaint indices

• Information or complaint received from consumers

• Irregularities in financial examination

 

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