EU Competition Law
The fundamental goals of EU competition rules is to prevent distortion of competition. It is a condition for achieving a free and dynamic internal market and is one of the instruments promoting general economic welfare. Since the Lisbon Treaty came into force, this objective has no longer been set out expressly in Article 3 TFEU but subsumed into the term ‘internal market’ under Protocol No 27. The conditions for the application of these rules and their legal effects have become so entrenched in the Commission’s administrative practice over many years, and in the case law of the European courts, that they may be regarded as fixed.1 EU Competition law exists to protect the process of competition in a free market EU economy and it is a system …show more content…
State aid to given undertakings or products is prohibited when it leads to distortions of competition but can be authorised in specific cases. Competition rules also apply to public undertakings, public services and services of general interest. However, exceptions may be granted where application of the rules would jeopardise the realisation of the objectives of those services. EU competition Law applies to all countries in European Economic Area (EEA) which unites the EU Member States and the EEA EFTA States into an Internal Market governed by the same basic rules. European competition law promotes the maintenance of competition by regulating anti-competitive conduct by companies to ensure that they do not create cartels and monopolies that would damage the interests of society. Competition wanted because of the market result it produces efficiency, low prices and innovations. Competition rules limit the freedom of the market players in order to protect the process of competition, at the same time it preserves freedom of others …show more content…
Competition law pursues its goals as it prevents agreements restrictive of competition- Horisontal agreements (among competitors), Vertical agreements ( between parties at different levels of the production of distributions chain ), controls market power and its abuse, controls oligopolistic markets and prevents mergers which could be lead to a concentration in market
Phoebe Putney Case
953 Words | 4 PagesThe FTC Act was developed to employ the FTC. The FTC Act forbids engaging in unethical methods of marketplace competition and unfair or dishonest actions that would directly affect commerce. Antitrust Immunity. In order for antitrust immunity to be granted, an agency must be actively regulated by the state when the majority of its voting members are industry contributors for the profession the agency
Case Study: Coca-Cola Co. V. Koke Company
287 Words | 2 PagesCoca-Cola Co. v. Koke Co. of America, 254 U.S. 143 (1920) U.S. Sup. Ct. Facts: 1886 marked the invention of a caramel-colored soft drink created by John Pemberton. Coca-Cola got its name after two main ingredients, coca leaves and kola nuts. The Coca-Cola Company is suing Koke Company of America from using the word Koke on their products. They believe Koke Company of America is violating trademark infringement and is unfairly making and selling a beverage for which a trademark Coke has used.
Antitrust Act Vs Sherman Act
350 Words | 2 PagesTo maintain fair competition in the thousands of businesses and industries throughout the United States, antitrust laws and trade regulations were created. Antitrust laws have been enacted at both the state and the federal level. These laws prohibit unfair competition between individuals and entities, as well as unfair or deceptive practices that may cause harm to consumers. What times of behaviors and actions does the government prohibit? The Sherman Antitrust Act, or the Sherman Act, is a law that was created over a century ago to stop businesses from combining in such a way that may damage competition.
Big Businesses During The Gilded Age
1434 Words | 6 PagesCompetition is good for consumers. For example, if a company has to compete with another company, they will be forced to try to create a better and cheaper product than the other. If a company is a trust, and doesn’t have to compete, they will have no reason to keep their prices low, or improve the quality of their merchandise. This is because a consumer that needs a product will be forced to buy it from the monopoly even if they aren’t happy with the value or cost of it because they have no other choice. Big corporation leaders wanted to eliminate competition.
Purpose Of The Sherman Act
787 Words | 4 PagesWeek 7 Application In 1890 the Sherman Act was form it was a federal anti-monopoly and anti-trust statute that prohibited activities that restricted interstate commerce and competition in the marketplace. The purpose of the Sherman Act was to prevent larger companies from gaining control and forming trusts to in the competition. But, because the Sherman Act was used in reverse against the labor unions to dismantle the unions it was eventually abandoned (Johnson.2001). The evolution of the Sherman Act has provided a guide to the Courts to find the appropriate jurisdictional balance for its general Commerce Clause.
Leegin Case Summary
697 Words | 3 PagesThese are laws that apply to virtually all industries and to every level of business (). They prohibit a variety of practices that restrain trade. Examples of illegal practices are price-fixing conspiracies, corporate mergers likely to reduce the competitive vigor of particular markets, and predatory acts designed to achieve or maintain monopoly power. Congress passed the first antitrust law, the Sherman Act, in 1890 as a "comprehensive charter of economic liberty aimed at preserving free and unfettered competition as the rule of trade. "
Antitrust Laws
1185 Words | 5 PagesAnti- trust Laws of United states Antitrust law United States antitrust laws are referred to as competition laws. These laws are enforced by the government to protect consumers from vulturous business practices and ensuring that a clean competition exists in the open market economy. Congress was the first to pass the anti-trust law, the Sherman Act was the first law to be passed in the year 1890 as a comprehensive character of economic liberty which aims to preserve free and unfettered competition as a rule of the trade. In the year 1914 two more additional antitrust laws were passed by the congress: The Federal Trade Commission Act and the Clayton Act. These are the three core federal act which are being in effect today.
Cranbrooke Company Vs Intelex Case Study
2778 Words | 12 PagesThis paper is dedicated to the arbitrary case between Cranbrooke Company (plaintiff) v. Intellex (defendant). Intellex, Incorporated (hereinafter Intellex) is an American company which is working on the development and production of video games decks and cartridges. Intellex was operating only on the American market and when it made its reputation in US and occupied American market with its video games products, the company eventually decided to try to explore European market as well. In order to get into the market, Intellex tried to find a company which is based in Europe to issue the license of distributing the video game decks and cartridges within the whole Europe. After brief research they decided to choose Cranbrooke Industries, PLC
Sherman Antitrust Act Essay
733 Words | 3 PagesThe old Sherman Antitrust Act would have its legacy still applied on nowadays economy. First of all, the concepts trust
The Pros And Cons Of Market: A Competitive Market
797 Words | 4 PagesWhen there is a large number of sellers and a large number of buyers in a market, that market is regarded as a perfectly competitive market or industry. In a perfectly competitive market, a single firm cannot dictate the pace and the selling price (Khan Academy, n.d.). In other words, one firm cannot set the prices and the competitors are obligated to market prices. What is fascinating about a perfectly competitive industry is that barriers that prevent new firms from entering the industry are flexible; that means, there are minor barriers of entry as well as little or no barriers to exit (Rittenberg & Tregarthen, 2009). In view of this, the following items will be classified as a perfectly competitive market and a non-perfectly competitive market.
Western Europe After World War 1 Economic Analysis
598 Words | 3 Pages(217) This meant, for the Countries in Western Europe, they would have a significant less number of potential compensators for selling their products in the market. Accompany this thinking is the establishment of the EEC, or the European Economic Community. This partnership meant that products from other nations in the group were not “taxed nor tariffed” when traded between partner nations. (216) These consisted of
How Did The European Union Influence Parliamentary Sovereignty
946 Words | 4 PagesTherefore the British parliament has enacted the legislation to reflect this and hence be in line with the directives of the EU. It entailed the removal of any unfair treatment in regard to employment opportunities. The free flow of labour was to enable movement of investment such as purchase of the property or shares among the member states. Another example is preventing unlawful restrictions on imports of certain goods, discriminatory taxation on wine and the requirement to fit tachographs to
Competition In Australia Essay
973 Words | 4 Pagesthat it reduced productivity, lowered the return on new investment, drove companies offshore and artificially elevated local prices99. A more flexible economy in which competition is truly open will increase productivity and create new business opportunities and ultimately growth as evidenced in multiple cases cited above. In Australia for example, the National Productivity Commission (2005), observed productivity and price changes in the selected infrastructure services due to governmental interventions to promote competition boosted Australia’s GDP by 2.5 per cent100. On the contrary, Hasken and Sadun (2012) examined the effects of an increase in regulation, highlighting that increased regulation that hindered effective fair competition of retailing in the UK from 1996 reduced productivity growth by about 0.4% p.a101. Similarly, Cincera and Galgau (2005) postulated that tighter regulation that reduced entry in European markets raised mark-ups and lowered labour productivity growth102.
Advantages And Disadvantages Of Government Intervention
1195 Words | 5 Pages1) Government may intervene in a market in order to try and restore economic efficiency. One of the ways the government intervention can help overcome market failure is through the introduction of a price floors and price ceilings. If prices are seen to be too high, price ceiling or a maximum price could be imposed on a market in order to moderate the price of the product. This policy is often used when there are concerns that consumers cannot afford an essential product, such as groceries. The effect of a maximum price could create a shortage as it could lead to demand exceeding supply for that particular good.
Internal And External Factors That Influence Safety Culture
1409 Words | 6 PagesMany organisation argue that they should move away from the ideology of HSE legislation standards because of it’s many regulation(red-tape) affect the way business is done The Rt Hon Michael Fallon et al., 2013). The reason organisation believes in a more “laissez faire” way of doing things, it that is help drives the market into a more competitive form of business in comparison to the “laissez faire” of trade Kelloway and Cooper,
More about EU Competition Law
Phoebe Putney Case
953 Words | 4 PagesCase Study: Coca-Cola Co. V. Koke Company
287 Words | 2 PagesAntitrust Act Vs Sherman Act
350 Words | 2 PagesBig Businesses During The Gilded Age
1434 Words | 6 PagesPurpose Of The Sherman Act
787 Words | 4 PagesLeegin Case Summary
697 Words | 3 PagesAntitrust Laws
1185 Words | 5 PagesCranbrooke Company Vs Intelex Case Study
2778 Words | 12 PagesSherman Antitrust Act Essay
733 Words | 3 PagesThe Pros And Cons Of Market: A Competitive Market
797 Words | 4 PagesWestern Europe After World War 1 Economic Analysis
598 Words | 3 PagesHow Did The European Union Influence Parliamentary Sovereignty
946 Words | 4 PagesCompetition In Australia Essay
973 Words | 4 PagesAdvantages And Disadvantages Of Government Intervention
1195 Words | 5 PagesInternal And External Factors That Influence Safety Culture
1409 Words | 6 Pages