Make sure that the industry is policing themselves to shut out smaller competitors. This video offers a brief and concise explanation of how antitrust laws are important and provides a thorough overview.
The antitrust laws aim to facilitate the free flow of competition markets, where forces of supply and demand affect prices for the quality of goods as well as services. It can involve regulation or even breaking up certain businesses that are too huge – or who have overused their power – to prevent they from having an unfair advantage or creating monopolies.
One of the most well-known and well-known examples of antitrust enforcement was the demise of the Bell Telephone Company in the United States in 1984. The company had become an monopoly and the government made use of antitrust laws to prevent it from taking over an unjust post of power. Of course, this isn’t the only isolated case; there are numerous other instances of huge corporations as well as cartels that are being dissolved as a part of antitrust enforcement.
All in all, antitrust law is essential for ensuring that the markets remain vibrant and healthy. It’s a key factor in maintaining a healthy competitive market as it stops large corporations from manipulating prices or profiting from consumers.