When a proposed merger between two companies is reviewed by the government, the relevant market is defined by ________.

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03-07-2021
Business

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When a proposed merger between two companies is reviewed by the government, the relevant market is defined by ________.

Sagot :

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Buchinnamani208idn Buchinnamani208idn · Answer 1 · 2021-07-04T22:01:46-04:00

Answer:

whether or not there are close substitutes for the products of the two firms

Explanation:

The law watches closely for mergers that actively seek to inhibit or totally annihilate competition in the market which will be harmful for consumers. Mergers such as horizontal mergers, vertical mergers tend to bring about a monopoly whereby sellers aim to coordinate in a such a way that there is an agreement amongst them and profit is ensured while market becomes less efficient.

Sagot :

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