Question

What are some reasons why the DOJ would deny a vertical integration?

What are some reasons why the DOJ would deny a vertical integration?

Business   Economics   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

Vertical mergers have anticompetitive effects. There are strong concerns for illegality under vertical mergers than the horizontal ones. A vertical merger can result in increased cost for the remaining unintegrated players in the market that reduces efficiency of the market. Consumers are hurt when the prices are increased by the merged firm. These are however some reasons but the department brings in all such cases where the probability of an anticompetitive foreclosure is highest, even when there is no solid evidence found against anticompetitive forecosure.

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Why is a vertical integration strategy more appropriate in some industries and not in others
Why is a vertical integration strategy more appropriate in some industries and not in others
Some firms have engaged in backward vertical integration strategies in order to appropriate the economic profits...
Some firms have engaged in backward vertical integration strategies in order to appropriate the economic profits that would have been earned by suppliers selling to them. How is this motivation for backward vertical integration related to the opportunism logic for vertical integration? Compare the competitive conditions under which firms will be motivated to avoid opportunism through vertical integration. Please give examples and elaborate on your answers. *Not the Course Hero Answer, please*
what is vertical integration? give examples of backward and forward integration?
what is vertical integration? give examples of backward and forward integration?
What are the competitive advantages of vertical integration?
What are the competitive advantages of vertical integration?
What is Uber corporate strategy? is it Vertical integration or Horizontal integration ( Related or Unrelated...
What is Uber corporate strategy? is it Vertical integration or Horizontal integration ( Related or Unrelated Diversification)
What are the advantages and disadvantagrs of vertical integration for firm?
What are the advantages and disadvantagrs of vertical integration for firm?
What are some reasons why Just-In-Time inventory systems would not work in Cuba? If possible, please...
What are some reasons why Just-In-Time inventory systems would not work in Cuba? If possible, please provide some support or data with your answer.
What is the difference between vertical and horizontal integration strategies?
What is the difference between vertical and horizontal integration strategies?
2. Discuss the major reasons why one should expand beyond what your business is by: pursuing...
2. Discuss the major reasons why one should expand beyond what your business is by: pursuing vertical integration, being diversification, manage a multi-business corporation, or pursue a merger or acquisition (1page allocation)
Identify and explain clearly four reasons why supply chain integration is difficult in a global supply...
Identify and explain clearly four reasons why supply chain integration is difficult in a global supply chain environment?
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT