Abuse of market dominant position in international competition control system

Abstract with trade and investment liberalization and the rapid globalization of business Development, international market, increasing competition, monopoly is increasingly prominent. Since the gradual elimination of the traditional barriers to trade, the multinational phenomenon of abuse of international dominance is more common, serious impede the free Development of International Trade and fair competition.

Regional Economic organizations are actively seeking cooperation, the World Trade Organization is also considering competition policy into the WTO system, this paper analyzes the international competition through the abuse of dominant market position and the specific performance criteria, combined with regional Economic organizations and the World Trade Organization-related rules, to explore the abuse of this control system.

Keywords:: international competition, abuse of market dominant position and control system.

First, international competition, monopoly abuse of dominant position arising from serious problems.

With Economic globalization and the rapid Development of trade and investment liberalization, competition in the international arena is becoming increasingly fierce international competition is also increasing restrictions. CArtels, vertical agreements restricting competition, abuse of market power and a limited competitive mergers and other domestic Competition Law by the main actors continue to highlight in the international arena, a serious impediment to the conduct of free trade.

WTO treaty provides a form of internationally accepted trade rules restrict competition on the behavior of governments to implement strict restrictions on Economic exchanges in the world to eliminate the traditional barriers and barriers exist, which greatly promoted the freedom of International Trade and investment technology, but the market for multinational corporations have made in many countries provide the possibility of market power, but also for multinational source of abuse of market dominance.

Both in the domestic market or international market, the abuse of dominant market position of the main purpose is to damage or destroy existing competitors, or by raising, strengthening the market barriers and exclusion to prevent potential competitors entering the market, which is obviously limit the expansion of production and sales is not conducive to the improvement of production efficiency and new technologies, seriously hampered the Development of society, the ultimate detriment of consumers and society as a whole benefits.

Second, the abuse of dominant market position in international competition and the meaning of that standard.

Based on the above behavior on the serious impact of International Trade markets, countries are actively seeking bilateral or multilateral cooperation in order to regulate a variety of monopolistic behavior, such as the United States, the European Union and other developed countries bilateral agreements on cooperation in competition Law, a number of regional organizations, especially European Union, is committed to national competition legislation and Law enforcement cooperation. The most effective results is the United Nations under the auspices of UNCTAD Trade Act reached <<a multilateral agreement on Restrictive Business Practices of the multilateral principles and rules>>. From 1980 There have been 20 years since the history of competition Law in the areas of cooperation which is the only universally applicable multilateral instrument, the only fully multilateral framework on competition. However, none of the abuse of dominant market position in international competition and judging the meaning of the standards were a detailed interpretation of uniform, but for Economic Cooperation and Development (hereinafter referred to as OECD's <"Competition Law framework>>, United Nations Conference on the relevant legal documents and embryonic multilateral WTO agreements are given within the framework of anti-monopoly market abuse of dominant position and identification of standards and forms.

(A OECD <<competition law framework>> on the abuse of dominant market position and identification standards.

OECD's <"Competition law framework>> clearly states:" If a company can independently for a longer period of time to limit or reduce substantially the market competition, the company is to have a dominant position. Only when an enterprise Some of the specific share of the market share of more than 35% can be considered dominant. According to a market economic situation, a Zhanyou more than 35% market share, both companies were identified as dominating the business, can also been identified for non-dominating enterprises. This market situation including the firm's market share, competing in the company's market share, their ability to expand their market share, and new enterprises to enter the market possibilities. "Thus, OECD Renwei an enterprise in a certain market, provided they have a long-term and harmful two factors were considered to have a dominant market position. In addition, market share is also important that standard, 35% can not be ignored as an important indicator, but not systematically denied that more than 35% is a dominant market position, but requires the actual situation and specific issues and problems.

The <<framework>> Article 5 of the behavior of dominant companies, including: "the entry of other competitors or obstacles to the expansion of existing competitors, the competitors out of the market. Among them, the prohibition of production or may have a significant limitation competitive consequences. If a business enterprise to enter the market of new obstacles or inhibit the competitiveness of existing businesses to help improve the economic efficiency of enterprises, or it can bring more benefits to consumers, the companies that Section II of this paragraph type of behavior is not the list of prohibited objects. "can be seen, OECD stArt directly from the behavior, by analyzing the consequences of behavior, consider whether it is conducive to achieving the ultimate objective of competition law to determine the legitimate business behavior sex.

(B UNCTAD legal documents related to the definition of abuse of dominant market position.

1 <<. Control of fair commercial practices, principles and rules of the multilateral "Agreement> in the limit on the abuse of market dominant position adopted by the United Nations Conference on .1980 <<Control of fair commercial practices, principles and rules of the multilateral" Agreement >, in pArticular, reached in the Uruguay Round under the WTO system, a series of new agreements restricting competition is clearly stated. on abuse of dominant market position, the agreement clearly states: "Enterprises should not seek to restrict or abuse of dominant market position, business enter the market or otherwise unduly restrain competition. shall take the following actions in the marketplace: �� in the market to predatory behavior, such as using below cost defeat competitors, �� set discriminatory prices or other trading conditions, �� to merge or otherwise acquire a joint venture enterprise control, �� refused to take pArt or all of the transactions of the enterprise's customary conditions for transactions, �� limit the transfer of competitive products or other product sales, �� to the buyer of its products as a transferee supplied by the seller of a product of the conditions.

2. United Nations Conference <"Competition Law Template"> abuse of dominant market position and recognized standards. United Nations Conference on <"Competition Law Template" "(hereinafter referred to as <<Template"> is the United Nations Conference on Competition Law and a series of papers on competition policy issues, one of the model law although not legally binding, but the determination of market dominance played a guiding role. The <<Template "> The first chapter clearly states:" The law seeks to control or between the elimination of restrictions on companies entering the market or otherwise unduly restrain competition in the domestic and International Trade or adversely affect the economic development of restrictive agreements or arrangements, mergers and acquisitions, and abuse of dominant market position. "Chapter Article 1, paragraph 2, states: "The dominant market position" refers to a business alone or with a few other companies in control of a particular joint or class of goods or services related to the state of the market. "Thus, UNCTAD The importance of controlling, that has control of goods or services, which is to have a dominant market position. no mention of such factors as market share. The <<Template "> In the fourth chapter specifies the performance of the abuse of dominant market position form, divided into two categories. One is the prohibition of abuse and abuse of dominant market position or seek the behavior, mainly for companies dominate the market alone, cartels dominate the market and free enterprise market access restrictions or unduly restrict competition, and the other class is considered as acts of abuse, including: predatory pricing, discriminatory pricing, refusal to deal, resale price limit, restrict imports of patented products and so on.

In summary, UNCTAD <"Competition Law Template"> considered more comprehensive provisions, both identified as the abuse of the provisions of the act directly, but also provides a presumption of abuse behavior, so that legislation with certainty, at the same time flexibility is a worthy lesson.

(C WTO multilateral agreements within the framework of anti-monopoly provisions on abuse of dominant market position even though the text in the existing WTO is not yet agreement on international antitrust, but for the prohibition of abuse of market power has been the Regulation of the early embryo. under the WTO Agreement for the acts of abuse of market power, abuse of market power behavior mainly in the handling of state monopoly trading enterprises, trade in services such as financial sector monopolies and telecommunications industries and intellectual property areas, namely in the "<tariff General Agreement on Trade> "(referred to as GATT, <<the General Agreement on Trade in Services>" and "The <and the TRIPS Agreement>" (referred to as the TRIPS provisions in this detail. reposted elsewhere in the Research Papers Download http: / / www.hi138.com Third, the international competition in the abuse of market dominant position of legal control system.

(Abuse of a dominant market position in international competition, the regulatory system methods.

Abuse of dominant market position for the regulation, there are two different major international system: the structuralist approach and behavioral regulation regulation methods:
1. Structuralism of Regulation, is controlled by a dominant market position to keep it a reasonable goal of the anti-monopoly market structure, the control system. This theory holds that when the enterprise has a dominant market position, indicating they are likely in the market is a centralized market. In this case, antitrust law recognizes a dominant firm with market law, corporate spin-off and other means need to be taken to reduce market concentration and state of the market to restore competition. In order to maintain effective competition, antitrust not only to govern the behavior of dominant companies, and adjust the market structure.

2. Behavioral regulation approach is for enterprises to use their dominant market position for or against unfair competition to control the behavior of the system. According to this way, the antitrust laws targeted at the behavior of corporate abuse of dominant market position, rather than a dominant market position or concentrated market structure.

Structuralism, represented by the control system to Japan, the European Union and most civil law countries with a behavioral control, the United States in the structuralist approach by also using behavioral methods, oscillating between the two methods. We believe that , the volatile international markets, market structure it is difficult to measure in time are determined, therefore, behavioral standards Gengneng adapt to global economic trends.

(B how to control the abuse of dominant market position.

1. Urged WTO member countries competition law enforcement. Under the provisions of Article 23 of GATT, WTO competition law enforcement, members of the shortcomings in the following two cases, WTO dispute settlement procedures will result in the start (: 1 if the behavior of a member a clear violation of the GATT or WTO obligations under the Agreement, the other members can bring their "law of the complaint." For the purposes of competition law enforcement, because a monopoly of the handling of state monopoly trading companies, financial services, telecommunications service providers by conducted acts of abuse of market power, as well as import and export support of the Government limit the number of means or "gray area measures" the import and export cartels are explicitly prohibited by WTO rules of behavior, so if the above does not act in Member States ban, resulting in the interests of other members of the nullification or impairment, the other members of its proposed "law of the complaint." (2 in some cases, although the Member States measures were not inconsistent with the WTO agreement, but if taken by Member States measures resulted in the interests of other members of the nullification or impairment, or there are other circumstances, other members can still be brought under the provisions of GATT, "Non-violation Complaints."
2. The provisions of national competition law enforcement cooperation. In the current WTO rules, there are some scattered involving the provisions of national competition law enforcement cooperation, mainly members are involved in competition law enforcement should be mutual consultation and information. For example, <<General Agreement on Trade in Services>> Article 9, paragraph 1, provides that "Members recognize that, except in the case within the scope of Article 8 business practices, service providers, some business practices may restrain competition and thereby restrict trade in services. "According to the < > The provisions of Article 40, when a member of a national or resident in the territory of another member of the other members were charged with abuse of intellectual property rights of restricting competition, the members of the other members should be given the opportunity for consultations.

In summary, the field of international competition, abuse of dominant market position of the control system is not perfect. As the most influential WTO rules are not in the field of International Trade, abuse of dominant market position to conduct a comprehensive adjustment just for foreign trade , trade in services and intellectual property with a monopoly position in the three areas of business to make provision for restricting competition, in addition to not involved. Secondly, the current WTO system, there is no system of competition rules. fragmented rules can not prohibit all restriction of competition will inevitably lead to the interests of all the existing rules are not comprehensive and balanced protection. In addition, WTO as an international organization whose rules are obligations on the rights of members of the framework, can not be directly applicable to individual enterprises within the territory of Member States . When the business constituted trade barriers to restrict competition, if the act prohibited in the scope of WTO rules, it is difficult through the WTO dispute settlement mechanism to deal with yet. In view of this, abuse of dominant market position, improve the control system requires the members of the the joint efforts of the country, coordination and cooperation to maintain world order and the normal operation of the market economy, protection of national security and stability of trade and promoting economic prosperity and development.

References:
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[2] Qi Chunlei. WTO and the National Anti-Monopoly: Situation and Outlook. SOCIALIST COLLEGE .2005 (2.

[3] Li Juan, Liang Song. International Law of the State Regulation of Monopoly. Jishou University .2003 (9.

[4] Wang Ran. On the antitrust laws against the abuse of dominant market position of the finds. MA thesis, East China University of Political Science in April .2007. Links http://www.hi138.com Research Papers Download