Competition Act: Abuse of Dominant Position
The question requires identifying the specific section of the Competition Act, 2002, that prohibits enterprises from abusing their dominant market position.
Section 4 of the Competition Act, 2002, explicitly states that 'No enterprise shall abuse its dominant position'. This section is central to preventing monopolistic or dominant firms from engaging in anti-competitive practices.
The other options, such as Section 9 (related to regulation of combinations), Section 8 (also related to combinations), and Section 6 (regulation of acquisitions), address different aspects of the Act and do not specifically prohibit the abuse of a dominant position.
Important Questions from Business Competition
Select the correct code of the following statements being correct or incorrect.
Statement (I) : The ‘law of one price’ states that in competitive markets free of transportation costs and barriers to trade, identical products sold in different countries must sell for the same price when their price is expressed in terms of the same currency.
Statement (II) : An ‘Efficient market’ has no impediments to the free flow of goods and services, such as trade barriers.
Which one of the following is not true for introducing multiple brands in a category?
The shut down refers to complete cessation or closing down of the business. It involves which of the following?
i) No buying or selling
ii) No manufacturing
iii) Shifting of business from one place to another place
iv) Assets to be sold or disposed off
v) Returning capital to owners
Which of the following is a guideline to deal with colleagues?
Which of the following is a horizontal agreement?
