For more transparent regulators: courtesy does not take away bravery
A Mexican company was invited to meet with a UK regulator to discuss collaboration on environmental sustainability despite the risks of competitor discussions.
Recently, a Mexican company with international presence was invited by its competitors to a meeting with a UK authority. Typically, discussions among competitors can be risky, but it was particularly unusual to engage directly with the regulator regarding deeper collaboration in the market. The competitors highlighted that this authority operated under a defined 'Open Door Policy' that encourages dialogue with regulators, making this unusual meeting possible.
The Open Door Policy is an initiative introduced by the UK Competition and Markets Authority aimed at facilitating collaboration among companies on environmental sustainability projects without the fear of infringing competition laws. This innovative policy is designed to address the so-called 'green dilemma,' where companies are hesitant to work together on ecological issues due to the risk of being penalized for anti-competitive behavior. By allowing this space for discussion, the policy aims to break down barriers that hinder cooperation in sustainability efforts.
This meeting exemplifies a shift towards more transparent and cooperative regulation, encouraging businesses to engage in sustainability initiatives. As environmental goals become increasingly crucial, such policies could pave the way for enhanced collaboration among companies while ensuring compliance with regulatory frameworks. If successful, this could also inspire similar regulatory approaches in other countries, emphasizing the importance of sustainability in competitive markets.