TeliaSon Era and Google (Competition Law) - Dissertation Example

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This paper explores the concept of dominance and underscores how dominant firms abuse this position. This is done in light of the TeliaSonera case study and with special reference to the concept of margin squeeze. It begins by exploring the concept of dominance in abuse and how margin squeeze is affected…
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TeliaSon Era and Google (Competition Law)
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Download file to see previous pages However, it can be agreed that attaining this desirable status, in which all stakeholders benefit optimally, is relatively challenging. Coupled with increased pressure from the market to make profits, most business persons have opted for satisfying their needs at the expense of the consumer. Furthermore, individual business entities have gone to great lengths to attain and maintain a competitive edge in the markets that they explore. In essence, they take measures that are geared towards enhancing their performance and outperforming their counterparts. They have adopted malpractices such as collusive price fixing, predatory pricing, tie-up sale, discriminatory pricing and creating barriers to market entry amongst others. These trends have had adverse effects on both the consumers and other business persons in the market. To address these, regulatory policies have been put in place. Perhaps one that has been more effective in addressing the preceding concern is competition policy. Competition policy constitutes a set of measures adopted by the government which direct the behavior of the businesses as well as the structure of the entire business industry. Their main aim is to maximize the welfare of the affected stakeholders and promote effective and efficient performance. They provide useful insights regarding how business entities and individuals can explore the market and enhance healthy competition. Further, they offer guidelines regarding how to prevent anti competitive practices that hurt the industry and undermine sustainable growth and development. At this point, it cannot be disputed that unfair competitive practices promote aggression that has detrimental effects on the performance of businesses. In...
As globalization trends continue to grow complex and intricate, firms are increasingly being compelled to adopt approaches and practices that can enable them to attain and maintain a competitive edge in the market. This has prompted them to in some instances adopt practices that have harmful effects on their competitors as well to the consumer base. Monopolistic firms have particularly been affected the most because of their influence in the market. Coupled with their ability to make critical decisions regarding the products and services that they provide, the inherent power has made them to make decisions that have negative effects on their respective industries. Legal provisions have been established on a national, regional and international scale to guide their behavior in this regard. This ensures that the decisions that they make do not affect the functioning of the market and the general wellbeing of the market. Competition law has particularly been imperative in ensuring that this behavior or that their practices are economically viable. One of the tendencies that have been noted in the market pertains to violation of the competition law through margin squeeze. ...Download file to see next pagesRead More
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