What Did the Turkish Competition Authority Ignore in Its First Hub-and-Spoke Cartel Decision?

13 Pages Posted: 3 Oct 2022 Last revised: 11 Oct 2022

See all articles by Emin Köksal

Emin Köksal

Bahcesehir University

Sahin Ardiyok

BASEAK Attorney Partnership

Date Written: August 2022

Abstract

Hub-and-spoke cartels have recently come under the spotlight of competition authorities. The Turkish Competition Authority (TCA) found five grocery retailers and a cooking oil supplier in breach of Article 4 of the Turkish competition act (the equivalent of Article 101 TFEU). In this article, we discuss some of the drawbacks and limitations of the TCA’s first hub-and-spoke cartel decision that may also have significance for the practice of competition law in Europe. We examine how failure to conduct a simple economic analysis misled the TCA in its theory of how the hub-and-spoke cartel was formed and in its treatment of retailers’ sequential price setting.

Keywords: Hub-and-spoke cartels, Turkish Competition Authority, Economic analysis

JEL Classification: L41, L42

Suggested Citation

Köksal, Emin and Ardiyok, Sahin, What Did the Turkish Competition Authority Ignore in Its First Hub-and-Spoke Cartel Decision? (August 2022). Available at SSRN: https://ssrn.com/abstract=4235201 or http://dx.doi.org/10.2139/ssrn.4235201

Emin Köksal (Contact Author)

Bahcesehir University ( email )

Ciragan Cd. No:4
Besiktas
Istanbul, 34353
Turkey
2123810000 (Phone)

HOME PAGE: http://https://eminkoksal.com

Sahin Ardiyok

BASEAK Attorney Partnership ( email )

Büyükdere Caddesi Bahar Sokak No.13
River Plaza Kat 11-12
Istanbul, 34394
Turkey
+90 212 329 30 85 (Phone)

HOME PAGE: http://https://www.baseak.com/en/sardiyok

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