Japan's advertising powerhouse, Dentsu Group, is expected to face a fine of 3 billion yen resulting from their involvement in a bidding scandal tied to the Olympic games. This move comes after investigations unveiled orchestrated antitrust practices within the group, disrupting fair competition. The fines, which are issued by Japan's Fair Trade Commission, are among the largest handed to a single company in recent years.
The news has triggered a widespread discussion on corporate governance and competition fairness in Japan. Dentsu Group, being a major player in Japan's ad industry, affects the economics of various industries. Issues of corporate misconduct such as bid-rigging are considered significantly harmful, not only to the economy but also to the society's trust in business organizations.
In the US or EU, bid rigging is treated as a serious violation of antitrust laws. Punishments can be harsh, with fines reaching billions of dollars. Companies can also face substantial reputational damage following such violations.