Anti-trust corporate behaviour

Anti-competitive business practices
Restriction of commercial competition
Exclusionist practices of business

Nature

Anti-trust corporate behavior refers to practices by companies that undermine competition, leading to monopolies or oligopolies that harm consumers and the economy. Such behavior includes price-fixing, market allocation, and predatory pricing, which stifle innovation and limit choices for consumers. Anti-trust laws aim to promote fair competition and prevent corporate practices that can lead to market dominance. When companies engage in anti-trust behavior, they not only violate legal standards but also erode public trust and can result in significant economic disparities, ultimately threatening the principles of a free market.

Claim

Liberalization of trade and investment inside and outside WTO has accelerated globalization and, together with technological progress, enabled TNCs to pursue worldwide strategies. Major TNCs now focus on the entire world market and seek to achieve leading world market positions in their core business through mergers, acquisitions, strategic alliances, investment or trade. While dominant market positions are not anti-competitive in themselves, certain practices applied by companies enjoying such positions can limit international competition and market entry by competitors.

Anti-competitive practices raise import costs and limit market access and market entry. In this situation, some developing countries find it difficult to establish and enforce national competition rules to safeguard market forces and free market entry. In order to enable those countries to better address and discipline anti-competitive practices, it is essential for countries which have national competition rules in place to back them up with an appropriate system of enforcement.

Counter-claim

Anti-trust corporate behavior is often overstated as a problem. In reality, competition drives innovation and benefits consumers. Companies thrive by offering better products and services, and the market naturally regulates itself. Focusing excessively on anti-trust issues distracts from more pressing concerns, such as economic growth and job creation. Instead of stifling successful businesses, we should celebrate their achievements and allow them to flourish, as they ultimately enhance our economy and quality of life.