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Excessive Prices within EU Competition Law


Liyang Hou


Shanghai Jiao Tong University (SJTU) - KoGuan Law School

May 23, 2011

European Competition Journal, Vol. 7, No. 1, pp. 47-70, 2011

Abstract:     
Due to the different views in economics the prohibition of excessive prices is among the most controversial subjects within EU competition law. This article aims to shed some light on this concept. In the following, it first identifies the exceptional circumstances that may justify antitrust actions against excessive pricing. Subsequently, an empirical research is undertaken on the two-step analytical framework established by United Brands: first, analysing whether the profit margin is excessive; if affirmative, then assessing whether the price is unfair in itself or compared with others. In particular, it focuses on the three uncertainties within that framework: (i) determining an excessive profit margin, (ii) examining whether a price is abusive in itself, and (iii) demonstrating an abusive price based on benchmarks.

Number of Pages in PDF File: 36

Keywords: Excessive price, Article 102, Competition Law, European Union

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Date posted: May 24, 2011  

Suggested Citation

Hou, Liyang, Excessive Prices within EU Competition Law (May 23, 2011). European Competition Journal, Vol. 7, No. 1, pp. 47-70, 2011. Available at SSRN: http://ssrn.com/abstract=1850569

Contact Information

Liyang Hou (Contact Author)
Shanghai Jiao Tong University (SJTU) - KoGuan Law School ( email )
Huashan Road 1954
Xuhui District
Shanghai, Shanghai 200030
China
+86-21-6293-4632 (Phone)
HOME PAGE: http://law.sjtu.edu.cn/TeacherDetail123.aspx
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