We've got news for you.

Register on BusinessLIVE at no cost to receive newsletters, read exclusive articles & more.
Register now

For a generation, competition law has been based on the premise that intervention is warranted if companies cause or may cause significant harm to competition in the market and thereby diminish consumer welfare. This orthodoxy holds that the size of a company does not occasion concern — for several reasons. A company may be a large conglomerate enjoying no power in any market. It may be large because it requires scale to be efficient, or because it is simply better at what it does, and the rewards of competitive rivalry should not be diminished because competitors came second or third. This orthodoxy is starting to be challenged. There are companies of such extraordinary power, size and reach that the traditional rationale of competition law — maximising consumer welfare — is simply too limited to rectify the harms they may cause. Companies that have attracted these concerns are the giants of the new internet economy: Google, Amazon and Facebook. From an orthodox perspective, this i...

BL Premium

This article is reserved for our subscribers.

A subscription helps you enjoy the best of our business content every day along with benefits such as articles from our international business news partners; ProfileData financial data; and digital access to the Sunday Times and Sunday Times Daily.

Already subscribed? Simply sign in below.

Questions or problems? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now

Would you like to comment on this article?
Register (it's quick and free) or sign in now.

Speech Bubbles

Please read our Comment Policy before commenting.

Commenting is subject to our house rules.