Through collaboration between companies within a sector, a trade association coordinates public relations activities such as advertising, education, publishing and, especially, lobbying and political action.
[citation needed] In Slovenia, the government's approach to consulting business associations has been noted by the European Commission as a good practice example.
For example, in the US in the early 2000s the Motion Picture Association of America (MPAA) began running advertisements before films that advocate against movie piracy over the Internet.
Trade associations have faced frequent criticism due to allegations that they operate not as profit-making organizations, but rather as fronts for cartels involved in anti-competitive practices and price fixing.
[3][4] Critics contend that these associations engage in activities such as price-fixing, the creation and maintenance of barriers to entry in the industry, and other subtle self-serving actions that are detrimental to the public interest.
These criticisms raise concerns about the true nature and intentions of trade associations, questioning their commitment to fair competition and the welfare of the broader economy.