Competition law concept of strategic Sample Clauses

Competition law concept of strategic alliances The question left unanswered is whether competition authorities treat strategic alliances as a separate competition law concept or whether they just apply their existing framework. In his speech at the abovementioned cartel conference, Xxxxxxxx Xxxxxx, the former president of the Bundeskartellamt, said that the concept of strategic alliances is trendy and the relationships it describes differ greatly in nature.48 Nevertheless, he highlighted the following common features of strategic alliances: the partners remain legally independent, and the relationship between the partners is located between the market and hierarchy.49 What makes strategic alliances particularly noteworthy is the size of the firms and the international dimension. At the same conference, Xxxx Xxxxxxx, the Commissioner responsible for competition policy at that time, suggested strategic alliances were by no means a new concept in EU competition policy: ‘We have been dealing with this phenomenon for quite a while, even if under different names.’50 He stopped short of offering an exact definition of strategic alliances but stated that the problems involved in examining them are just the same as those involved in examining any agreement. Strategic alliances cover a wide range of situations. Others describe strategic alliances as various modes of cooperation between undertakings,51 or project-oriented cooperation with strategic objectives; generally between large undertakings, which retain their independence despite their close 48 Xxxxxx 1993 (n 41) 265. 49 By using the terminology of the transaction cost theory. 50 Xxxxxx 1993 (n 41) 265. 51 XX Xxxxxxxx, ‘Strategische Allianzen: Unternehmens- und wettbewerbspolitische Aspekte’ (1992) WuW 293. cooperation.52 The Canadian Bureau of Competition Policy stated that there are no specific provisions within the Canadian Competition Act dealing exclusively with strategic alliances, due to the myriad of corporate forms which these arrangements have taken and could take.53 The special characteristics of strategic alliances are: the parties’ maintained independence, partial integration with the joint pursuit of medium to long term goals, strategic but set time frame, and mutual contribution of assets, knowledge or information.54 The emphasis is not on the definition of strategic alliances but, rather, on their competitive effects.55 Xxxxxxx suggests that, in many respects, strategic alliances are ‘simply old wine in new bottles’.56 He refers t...
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