Market Power in the Context of Globalization

Abstract

Market power is a multidisciplinary concept, bringing together aspects from law and economics, which are necessary to be understood in order to assess market situations with a global dimension. Globalization is an economic and social phenomenon which comes together with enhanced market power for global actors. Factors influencing or limiting market power, such as corporate social responsibility, are important to understand in order to assess market power situations. According to European Union Law, the concept of market power is reflected in abuse of dominance, which is an anti-competitive behavior prohibited in the Common Market of the EU, as defined in Article—102 of the Treaty on the Functioning of the EU. An interdisciplinary approach based on elements of law and economics is thus necessary when assessing market power of global actors.