Scenarios regarding the role of the Competition Council and its influence to the economic environment

Author:George Gruia - George Cristian Gruia
Position:Spiru Haret University, Bucharest, Romania - Technical University from Prague, Czech Republic
Pages:259-267
SUMMARY

The present article offers a series of scenarios which can appear as a result of different decisions that are being taken and applied by the Competition Council with implications in the national economy. The scope of the article is for best practices examples to be showcased in order for the procedures of competition law in business to be smoothened out. With this occasion, our aim is to offer a... (see full summary)

 
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Scenarios regarding the role of the Competition Council
and its influence to the economic environment
Lecturer PhD George GRUIA
1
Eng. George Cristian GRUIA2
Abstract
The pr esent ar ticle offers a ser ies of scena rios which can a ppear as a result of
different decisions that ar e being taken and applied by the Competition Council with
implications in the nationa l economy. The scope of the article is for best pra ctices examples
to be showcased in order for the pr ocedures of competition law in b usiness to be
smoothened out. With this occa sion, our aim is to offer a par allel with the Competition Law
from Czech Republic a nd Singapore to have a better understanding of the differences but
also its effects which could appear in the Romanian and interna tional business environment
once the decisions are being taken by th e Council o f Competition. Several scenarios are
being conducted and a nalysed from the juridical -commercial perspective and certain
recommendations a re being formulated for a better development of Europea n Law, in this
case the international business law in the context of a broader fra mework in the Eur opean
Union, but in Asian and Centra l American countries a s well.
Keywords: tra nsparency, best practices, scena rios, competition.
JEL Classification: K23, K33
1. Introduction
The Competition Council has the role to protect the consumers’ interests
against the anticompetitive policies, that different economic agents nationally and
internationally exert them in order to obtain unduly profits through the monopoly
that is exerted over that specific market influencing at one’s will the price and the
quantity of sold goods to the end users. In this regard, one can notice that certain
„players” on the international market can influence in a negative manner the
products and selling of those products to the end users, based on the decisions that
are being taken at local level by the Competition Council.
On the one hand the Council's role is to protect consumers, but on the other
hand it may adversely affect the strategy development and the penetration of
certain manufacturers in various markets, and their influence on local and
international Stock Exchanges, due to lower stock prices of companies subject to
acquisition / merger, and consequently the cash-flow.
We also consider time as a negative factor, namely delaying the decision of
the Competition Council as a negative influence on the market and the business
environment. In this case, the merger may create a state of uncertainty affecting
1 George Gruia - Spiru Haret University, Bucharest, Romania, g.gruia@yahoo.com
2 George Cristian Gruia - Technical University from Prague, Czech Republic,
georgecristian.gruia@fs.cvut.cz

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