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The conferences that are lately being held by international organization for instance the UN conferences on development and trade are likely to influence the application of the provisions in the competitive, antitrust and anti-monopoly laws. This is something that was foreseen by the scholars of the ancient times. The talks about the World Trade Organization are revolving around globalization of the competitive laws. This will be possible through the International Competition Network that has been made which will enable international organization to enforce their activities. The effects of competition law in developing countries are still unclear because of the nature of the market in such countries. Poor countries are usually characterized by fragmented markets which are not dominant limiting the effectiveness of the competition law. When a country is poor the change of its market to develop and reach a level in which it can successful participate in international markets is very minimal. For instance if it becomes possible one of the major obstacle is poor governance because of wide spread corruption which is an obstacle to meaningful trade
Laissez-faire doctrine is against antitrust because it considers competition as the only way of creating market dominance. Dominance of markets is a result of some skillful innovations and this doctrine exclaims that hiking of price as a way of maintaining monopoly creates many opportunities for the companies which are willing to compete with the monopoly. Therefore price hiking is a creative destruction process which in the long run destroys the monopoly. In his doctrine he recommends that the government should prohibit monopoly since the market has all the potential needed to create discipline among businesses. Laissez-faire doctrine is under classical perspective which insists that some business agreements are unreasonable competition restraints.
Dominance comes into place when a specific company holds market shares which are enormous. Consumers are at a risk when a specific firm holds large shares of the market because of his influence on price in exchange to poor quality products. Despite the fact that consumers end up paying much for a product is not worth because the quality of goods are improved when there is competition. On the other hand high market share is not a constant confirmation to raised prices since elevation of prices can be hindered by new entrant’s threats. Therefore illegalization of monopoly is not just because of completion but misuse of the monopolistic powers by indulging in exclusionary practices and behaviors. The first step that should be followed is determination whether a market is dominant or not and if its practices posses some dangers to the consumers and the existence of free markets.
Under the European Union competition policy the existence of market with relatively large shares automatically groups it among dominant market though this is not the case in most cases. Dominance comes with responsibility because such firms are not allowed to conduct themselves in a way that impairs market competition. On the other hand dominance to a given market is with respect to specific market as well as the specific product. For these reasons some of the unwanted practices maybe prohibited with the country’s trade laws. A good example of such illegal practices is production restrictions that are imposed to shipping companies by improving technology. Denying competitors the chance to compete is another form of market abuse. Types of market abuse that relates to price may involve exploitation of price by the dominant firm this can be determined by comparing those prices by prices of other similar commodities.