What Is Competition Law In Business

Competition law is implemented through public and private enforcement.

What is competition law in business. How the law handles competition between businesses in business competition between sellers within an open marketplace is beneficial for both businesses and consumers. Competition law is a body of business law that regulates market competition between companies. Prohibiting contracts which severely limit trade or commerce. Competition law is a law that promotes or seeks to maintain market competition by regulating anti competitive conduct by companies.

A cartel is formed when several businesses come together to carry out certain types of uncompetitive practice. Competition law is known as antitrust law in the united states for historical reasons and as anti monopoly law in china and russia. It is also known as antitrust law or anti monopoly law. In the united states canada and the european union competition law is also known as antitrust law.

Competition not only keeps prices lower and raises quality but it also provides more choices and more reason to be innovative. Competition law is the body of legislation intended to prevent market distortion caused by anti competitive practices on the part of businesses. Both uk and eu competition law prohibit agreements arrangements and concerted business practices which appreciably prevent restrict or distort competition or where this is the intended result and which affect or may affect trade within the uk or the eu respectively. Competition law aims to ensure that businesses and their customers enjoy the benefits of open and competitive markets.

In previous years it has been known as trade practices law. Here s what you need to know about how competition law affects your business.