Business Law Task 3: UK Monopolies and Competition Law Analysis

This report analyzes UK competition law, focusing on monopolies and anti-competitive practices. It examines the key legislation, including the Competition Act 1999 and the Enterprise Act 2003, defining monopolies based on market share and outlining prohibited practices like price-fixing and cartels. The role of the Competition Commission in regulating mergers and acquisitions is discussed. Furthermore, the report delves into the concept of a dominant position within the EU market, highlighting the potential for abuse and the conditions under which exemptions from anti-competitive practices may be granted. References to relevant literature are included to support the analysis.

BUSINESS LAW
TASK 3

3.1 Monopolies and anti-competitive
legislation in the UK.
United kingdom Competition law prohibited any non-competitive
activity within the market and has every the rights to examine any
case of its involvement. Broadly, UK Competition law gets full of
British likewise as European Economic Community parts. There
area unit 2 most significant statutes with strictly national dimension
in UK concerning competition laws that area unit Competition act
1999 and Enterprise act 2003. in United Kingdom of Great Britain
and Northern Ireland the term monopoly is outlined as: If an
organization have quite twenty fifth of market share then it'll be
thought-about as monopoly.

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Monopoly sometimes happens once a Company's product gets
extremely no-hit (Marks & sociologist owns half-hour market share
in retail in UK) or there area unit horizontal mergers between firms
making even larger entities. of these monopoly corporations area
unit a threat for United Kingdom of Great Britain and Northern
Ireland market and thence Monopoly is illegitimate in United
Kingdom of Great Britain and Northern Ireland anti competitive
practices are regulated as they will damage the native businesses.
below the Competition act 1999 and Enterprise act 2003 prohibits
all the anti competitive practices, such as-free commerce, forbid
dance any consumptive behaviour of firm in market, forbid dance
predatory rating, tying, dumping, gouging, refusal to deal and
significantly includes the repression of cartels. It additionally
monitors the mergers and acquisitions of enormous corporates on
ensure that these mergers to not damage the market.

3.2 Competition commission with some
circumstance of the monopolies and anti-
competitive
A Competition commission was habitual in 1999 to control any
mergers, acquisitions, joint ventures and non-competitive activity
within the market. It replaced the monopolies and mergers
commission. workplace of truthful commerce refers the problems to
the commission. Commission solely makes recommendations, all the
social control is completed by the workplace of truthful commerce.
The competition commission appearance at the subsequent issue to
know whether or not the merger is publicly interest or not-
a)Localized Firm market stock
b)New entity market share
c)Research and Development activities under the firms
d)Economies of scale

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Competition commission besides perceive out the issues which are
precise by whatever single regarding anti-competitive pattern price
repair and bid tackle, a market not working well, unfair terms in
contract, whatever issues related to competition. Competition law
is binding attached with law on modulate of accession of markets,
state aids and grant, etc. Competition commission addition more
power than its precursor under the enterprise act 2003. the office
of fair trade has all the enforcing powers under the enterprise act
2003.

3.3 Dominant position with within the EU
market.
In terms of Dominant position, one firm having an effect over entire
market space through they maintain sturdy position within the market
which ends up exploitation of client United Nations agency square
measure the vital a part of the market. They management over market
that is quite five hundredth. it's clearly unfair condition with
customers. This condition is ready to make barriers. it's the growing
concern that, numerous kinds of instruments through that abuse of
dominant position is done. that square measure as follows:
Discrimination of costs- If corporations charge totally different prices
from different customers that is that the results of abuse dominant
position.
Predatory rating in product and services- during this sorts scenario,
during which companies sell product and services below the worth.

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within the terms of opinions of EU, the organization that having
dominant position within the entire market space then it'll be
contemplate as black-market and not be enforceable by law. This
condition is totally restricted by law and law is obligatory restriction
on them. The dominant position is additionally having impact on the
trade between 2 or a lot of countries. the applying EU exemption of
anti-competitive practices:
Just in case any firm having dominant position within the market
they need to satisfy the justification that square measure as follows:
The firm offer correct satisfaction to their customers with
conducting any discrimination with them.
This situation will includes the position that producing and delivery
of products and services square measure improved in terms
technical and economic progress.

3.4 Position in which unsusceptibility is render
to them.
According to article of 102, it involve condition this may type the
behaviour of 3 kinds. These exemption is provided to people who square
measure ready to evidenced that anti-competitive practices square measure
edges for the whole market. in step with the article a hundred and one that
consists numerous of laws and regulation and have to be compelled to be
fulfil by them. within which principals square measure united to exempt
agreement which aren't thus vital. the businesses holding littler amount
than 100% square measure referred to as small concern. The commission
that framed laws and regulation associated with the competition square
measure exempt those businesses that square measure ready to satisfy their
customers and supply merchandise quality of merchandise and services to
them and not hurt for the market space. In conjointly includes the case that
isn't ready to meet the quality level of production and not capable to
satisfy competition with alternative countries.

REFERENCES
Bebchuk, L.A. and Jackson, R.J., 2011. The law and economics of
blockholder disclosure.
Bishara, N.D. and Westermann‐Behaylo, M., 2012. The Law and
Ethics of Restrictions on an Employee's Post‐Employment
Mobility. American Business Law Journal. 49(1). pp.1-61.
Cantwell, J., Dunning, J.H. and Lundan, S.M., 2010. An
evolutionary approach to understanding international business
activity: The co-evolution of MNEs and the institutional
environment. Journal of International Business Studies. 41(4).
pp.567-586