The Supreme Court has spoken out on the issue of internal competition within companies: to prevent winners from squeezing out the profit space of small and medium-sized enterprises.

Zhu Li, Deputy Chief Justice of the Intellectual Property Court of the Supreme People's Court, said at a press conference on the 28th that the court will further explore and deepen the judicial path of comprehensive rectification of "internal competition". Currently, "internal competition" is a prominent issue in the construction of a unified national market. Zhu Li analyzed that the causes of "internal competition" are complex. From the perspective of intellectual property justice, at least three factors deserve special attention: firstly, monopolistic behavior breeds "internal competition"; secondly, insufficient innovation promotes "internal competition"; and thirdly, unfair competition exacerbates "internal competition". In recent years, the Intellectual Property Court of the Supreme People's Court has focused on encouraging technological innovation and maintaining market fair competition, rectifying "internal competition", increasing judicial anti-monopoly efforts, and strictly regulating monopoly behavior. Since its establishment, the court has determined monopoly in 66 cases. Zhu Li stated that the next step is for the court to further explore and deepen the judicial path of comprehensive rectification of "internal competition", continuously strengthen the regulation of monopoly and unfair competition behaviors. Strictly regulate predatory pricing and other exclusionary abuses of market dominance by leading companies in accordance with the law to prevent "winner takes all" and squeeze the profit space of small and medium-sized enterprises. Focus on regulating typical horizontal monopoly agreements such as fixed prices and market division to restore a healthy competitive ecosystem. Correct the abuse of administrative power to exclude or restrict competition, break local protectionism and industry barriers. Increase judicial protection for key frontier areas of technological innovation and trade secrets, and enhance innovation, creativity, and entrepreneurial vitality.