complex monopoly

complex monopoly

a situation defined by UK COMPETITION POLICY as one in which two or more suppliers of a particular product restrict competition between themselves. Complex monopoly is in essence an OLIGOPOLY situation where the firms concerned, although pursuing individual (i.e. noncollusive) policies, nonetheless behave in a uniform manner and produce a result which is noncompetitive (i.e. similar to COLLUSION). The problem is that it is often difficult to distinguish between competitive and noncompetitive situations. For example, if firms charge identical prices, is this reflective of competition (i.e. prices which are brought together because of competition) or a deliberate suppression of competition?

complex monopoly

a situation defined by UK COMPETITION POLICY as one in which two or more suppliers of a particular product restrict competition between themselves. ‘Complex monopoly’ in essence refers to an OLIGOPOLY situation where the firms concerned, although pursuing individual (i.e. non-collusive) policies, nonetheless behave in a uniform manner and produce a result that is non-competitive (i.e. similar to COLLUSION). The problem is that it is often difficult to distinguish between competitive and non-competitive situations. For example, if firms charge identical prices, is this reflective of competition (i.e. prices that are brought together because of competition) or a deliberate suppression of competition?
References in periodicals archive ?
There is no question that the complex monopoly situation we have in UK food retail is acting against the public interest.
Small businesses are falling victim to a complex monopoly by high street banks, according to provisional findings from an inquiry by the Competition Commission.
The Competition Commission has ruled that the "big four" High Street banks - HSBC, Barclays, the Royal Bank of Scotland and Lloyds TSB - are operating a complex monopoly.
A complex monopoly is where a group of companies that are not connected and that together account for at least one-quarter of a U.
The CC published its findings in April 2000 and made a number of recommendations to end what was characterised as a complex monopoly situation.
Summary: After a month-long investigation, the United Kingdom's Office of Fair Trading has conceded that there is a complex monopoly in the British car trade, with at least one leading manufacturer (believed to be Volvo) at the centre of the controversy.
A complex monopoly exists in the top-up marketplace and perhaps the networks are abusing their positions.
The Office of Fair Trading passed the file to the Monopolies Commission after concluding that a complex monopoly was pushing up the cost of vehicles here.
The Commission has already concluded that the sales represented a complex monopoly.
We have to convince the Competition Commission that the complex monopoly which clearly exists works in the interest of both customers and suppliers.
It also said there may be a "number of complex monopoly situations [where companies' activities combine to restrict competition] in favour of certain manufacturers as a result of various practices".