Antitrust Laws And Violations Antitrust Law - 3501 Words

Antitrust Laws and Violations Introduction Antitrust laws are to protect competition. The free and open competition benefits that consumers have by ensuring that they have lower prices as well as new and better products. In a freely competitive market, each competing business generally will try to attract consumers by cutting its prices and increasing the quality of its products or services in order to try to beat out there competitor. The competition and the profit gives the opportunities to bring and also stimulate businesses to find new, innovative, and more efficient methods of production. Consumers sometimes benefit from competition when there are lower prices and better products and services (). The antitrust law is the law that†¦show more content†¦These laws also oversee planned mergers and acquisitions that are adequately large to add up to a threat to rivalry, and they take in hand commercial practices that can cause an uncertain threat to competition on the merits in an appropriately defined antitrust mark etplace (Clark, 2007). Main Issues Competition is considered beneficial for business and business environment, as in a competitive market, companies offer higher quality products at lower prices to be successful or to gain market share. On the other hand, businesses perhaps get involve in violation of antitrust laws that is a white collar crime as it has a bad effect on competition, can damage economy and can increase prices. Antitrust laws are formed to protect consumer and competitors from unfair competition and its consequences, these laws prohibits: conspiracies, combinations and contracts in trade restraint, mergers, and acquisitions that tend to significantly reduce the competition offenses and methods of unfair competition, as well as unfair practices and acts in the conduct of commerce and trade (Kovacic et al, 2007). Competition serves as an effective mean for businesses to identify ways to improve product quality, charge lower price, and to increase efficiency. Business that can offer the highest product quality at the reduced costs will succeed in a