Multiproduct activity and competition policyThe Tetra Pak case

  1. Aurora García Gallego
  2. Nikolaos Georgantzis
Aldizkaria:
European journal of law and economics

Argitalpen urtea: 1996

Alea: 3

Zenbakia: 1

Orrialdeak: 83-95

Mota: Artikulua

DOI: 10.1007/BF00149084 DIALNET GOOGLE SCHOLAR

Laburpena

We suggest the Tetra Pak case as a real-world example to study the implications of multiproduct activity for European Competition Policy. Tetra Pak, a monopolist in aseptic carton packaging of liquid food, competes with Elopak in the nonaseptic sector. The EC Commission used the effect of Tetra Pak's dominance in the aseptic sector on its rival's performance as an evidence of the former's anticompetitive behavior. With linear demand and cost functions and interdependent demands, the Commission's position can be supported. However, a more general model suggests that the Commission's conclusions cannot be supported as the unique outcome of the analysis of the information available.