Competition law market dominance

  • Is dominance in the market under competition law?

    In India, the essential facility doctrine is recognized under Section 4(2)(c) of the Competition Act, 2002, which prohibits any abuse of dominance by a dominant firm in a relevant market, including the denial of access to an essential facility..

  • What are the causes of market dominance?

    The common traits that facilitated the development of dominance in these examples are: being a first mover; strong leader ship; cost advantages often through economies of scale; effective product promotion to stimulate demand; strategic use of patents and technology; and general dominance through size..

  • What does market dominance mean?

    Market dominance is the control of a economic market by a firm.
    A dominant firm possesses the power to affect competition and influence market price..

  • What is dominant position in the market competition law?

    Article 82 provides that: 'Any abuse by one or more undertakings of a dominant position within the common market or in a substantial part of it shall be prohibited as incompatible with the common market in so far as it may affect trade between Member States. '.

  • What is market dominance under competition law?

    In terms of Section 4 of the Competition Act, 2002, Dominant Position means a position of strength, enjoyed by an enterprise, in the relevant market, in India, which enables it to: Work independent of any competitive forces prevailing in the relevant market or..

  • What is market power in competition law?

    Market power is a key factor considered by competition authorities to analyse mergers and acquisitions as well as alleged anti-competitive conduct.
    Traditionally, market power of a firm has been estimated primarily by reference to market share and market concentration measures..

  • What is market power in competition law?

    Market power is the ability of a firm to behave in a manner that does not take into account the reactions of its competitors, customers or suppliers, or to control prices.
    Secondly, there must be evidence that the respondent is abusing its dominance..

  • Market dominance is the control of a economic market by a firm.
    A dominant firm possesses the power to affect competition and influence market price.
  • Market power is the ability of a firm to behave in a manner that does not take into account the reactions of its competitors, customers or suppliers, or to control prices.
    Secondly, there must be evidence that the respondent is abusing its dominance.
Competition law prohibits abusive behaviour by companies in a dominant market position. A dominant position is not defined merely by market share, but by classification as a market leader.
If a company has a market share of less than 40%, it is unlikely to be dominant. The Commission also takes other factors into account in its assessment of  Assessing dominanceWhat is an abuse of dominance?Investigations

How does competition policy affect consumers?

However, competition policy has identified some strategies that can be used by dominant firms in a market in order to enhance or protect their market power.
In contrast to innovation, for example, these strategies can harm consumers, and lead to broader economic damage.

What is a high degree of dominance in one market?

The high degree of dominance in one market was used by the Court to conclude that, for the purposes of competition law, the undertaking was also dominant in a neighbouring market in which it held a leading position and thus had a special responsibility not to undermine competition in both markets.


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