accounting help needed
February 19, 2021
read and answer questions
February 19, 2021

Discussion

In today’s economy, there are a wide number of powerful companies who from all appearances control massive segments of different markets. Using the Internet, identify one (1) example of a large company that has (or might be) engaged in anticompetitive behavior. Next, suggest three (3) ways that this behavior could be viewed as either a horizontal or vertical restraint of trade. Provide support for your response. – Minimum of 500 words


PART 2: Please comment on the below, and take a contrary view and discuss why you believe the behavior identified could be deemed as not being a restraint of trade. Justify your response. – Minimum of 200 words.

Google is one such company that is engaged in anti competitive behavior in its search engine business. And that was the reason why in Europe it was fined heavily.

Three ways in which these practices be restrained are:

  • Regularly auditing backend algorithms of the companies, who can easily digress the searches to paid results and by increasing the revenue for the company. And this can be done only be regular and uninformed searches as part of audit.
  • Google keeps changing its algorithm, cyber cell should be formed to accept or deny the search engine back end logic. These could be done by setting up expert teams that would approve or deny business changes, more so when a company has over 50% of market share, in googles case its at 80%+, but no one monitors the changes. Accuracy is different and coning is involved in high technology fields.
  • The Anti competition laws should be formed to avoid any malpractice; prevent market polarization and forming monopolistic force. So once the 60 or 70% market share is received the authorities should divest the excess or dilute the excess share to form new entity, this is bad for the organization but correct to regulate the market.

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