20 Mergers (1): introduction

Subject(s):

Concentrations — Conglomerate effects — Coordinated effects — Vertical effects

This chapter briefly discusses the subject of merger control. Merger control is an important component of most, though not all, systems of competition law. It begins by explaining what is meant by a ‘merger’ or ‘concentration’, the term used by the EU Merger Regulation (‘the EUMR’). It then proceeds to describe the different effects of mergers between independent firms from within and different production levels, the proliferation of systems of merger control, why firms merge and the purpose of merger control. The final section of the chapter deals with how to design a system of merger control when a country decides, as a matter of policy, to adopt one.