STEP 3: Does the undertaking have dominance in the market?
5 important questions on STEP 3: Does the undertaking have dominance in the market?
How long must a company be in a dominant position for it to be considered dominant? Explain how United Brands were in a dominant position for a long period of time?
- For a long time, United Brands was the dominant supplier of bananas in Europe.
If the undertaking has patent rights over a specific design - intellectual Property (exclude competitors from using this design/invention which might be central to that relevant market) does that act as a barrier to entry?
How did Hugin create legal barriers for other cash register companies?
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Can dominance take the form of more than one company Italian Glass?
Explain what part of the market must the undertaking be dominant in and whether this need to be just geographically? Containers (Holyhead)
- Not just geographically but can be an economically significant part
- Containers (Holyhead) - port of Holyhead was held to be a substantial part of the internal market due to its economic significance as it was a major gateway between Britain and Ireland
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