The use of economic principles and empirical techniques can be central to determining whether a merger should be allowed to proceed or whether a particular agreement or conduct should be prohibited.

CEG has substantial expertise in all key areas of competition economics.  We identify the competing theories, determine the critical issues and apply quantitative techniques to develop economically robust and empirically supported analysis.  Matters that we have investigated include the likely competitive impact of mergers, cartel behaviour, exclusionary abuses of market power, excessive pricing allegations and damages quantification.

Representative cases on which CEG economists have recently advised include:

• European Commission Article 81 investigation of the agreements and practices of collecting societies, for RTL and MusicChoice
• Support to Tele Atlas in the clearance of the recent Tom-Tom/Tele Atlas European Commission Phase II merger investigation
• UK Competition Commission investigation of payment protection insurance for Aviva Plc
• Empirical assessment  for Australian Competition and Consumer Commission (ACCC) of allegations of predatory pricing against Telstra Corporation relating to pricing of wholesale broadband services (price squeeze, predatory pricing, and cross-subsidy)
• Cartel case in the bathroom fittings sector in Europe
• Merger clearance in relation to Proctor & Gamble/Gillette, UCB/Schwarz Pharma, Sonae/Portugal Telecom, T-Mobile/tele.ring, HP/Compaq as well as pre-merger advice in relation to a number of confidential proposed transactions
• Advice in relation to an alleged breach of Article 81 in relation to gas insulated switchgear
• A state aid case involving a European fixed incumbent operator
• Empirical assessment of allegations that Airservices Australia's pricing was in breach of National Competition Agreements for Airservices Australia
• The European Commission’s first Article 82 case regarding misuse of patent systems in the pharmaceutical industry for the plaintiffs
• Advice in relation to an alleged margin squeeze by a European fixed incumbent operator
• Qualitative and quantitative assessment  for Telecom NZ of when bundling of telecommunications services might be in breach of competition law
• Analysis of the consistency of network sharing proposals with European competition law
• Advice to ACCC on the potential for anti-competitive effects of exclusive dealing and bundling in the media sector
• Action on an abuse of market power case against Telstra and advice to Minter Ellison on market definition, whether the conduct constituted 'taking advantage' of market power and the impact on competition.

CEG's Competition Practice Brochure is available here.