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Delineating market boundaries in the Russian mass notification market: An application of critical loss analysis

Author

Listed:
  • Yannis Katsoulacos

    (ESSEC Business School, Paris, France
    Athens University of Economics and Business, Athens, Greece)

  • Natalia S. Pavlova

    (Lomonosov Moscow State University, Moscow, Russia
    Russian Presidential Academy of National Economy and Public Administration, Moscow, Russia)

  • Andrey E. Shastitko

    (Lomonosov Moscow State University, Moscow, Russia
    Russian Presidential Academy of National Economy and Public Administration, Moscow, Russia)

Abstract

Telecom companies are a frequent target of antitrust investigations in Russia. In an industry where services tend to become more and more complex and companies actively invest in diversifying their businesses, the antitrust authority in most of its telecom cases has chosen to define markets narrowly, which increases antitrust risks for the companies. This paper uses poll data on mass SMS notifications — a market in recently investigated by the FAS Russia — to demonstrate, using critical loss analysis, that the market should be defined in broader terms. In particular, the main empirical finding is that the relevant product market boundaries should cover not only SMS, but also email, messengers and push and voice notifications.

Suggested Citation

  • Yannis Katsoulacos & Natalia S. Pavlova & Andrey E. Shastitko, 2020. "Delineating market boundaries in the Russian mass notification market: An application of critical loss analysis," Russian Journal of Economics, ARPHA Platform, vol. 6(2), pages 177-195, June.
    • Handle: RePEc:arh:jrujec:v:6:y:2020:i:2:p:177-195
    DOI: 10.32609/j.ruje.6.50122
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    File URL: https://rujec.org/article/50122/
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    References listed on IDEAS

    as
    1. Andrey Shastitko, 2011. "Collective Dominance Through the Lens of Comparative Antitrust," Antitrust Chronicle, Competition Policy International, vol. 8.
    2. Øystein Daljord & Lars Sørgard & Øyvind Thomassen, 2014. "Asymmetric Price Increase In Critical Loss Analysis: A Reply To Langenfeld And Li," Journal of Competition Law and Economics, Oxford University Press, vol. 10(3), pages 765-768.
    3. Shastitko, Andrey (Шаститко, Андрей) & Kurdin, Alexander (Курдин, Александр) & Markova, Olga (Маркова, Ольга) & Мeleshkina, Аnna (Мелешкина, Анна) & Morosanova, Anastasia (Моросанова, Анастасия) & Pav, 2019. "Competition and competition policy: at the junction of the future and past [Конкуренция И Конкурентная Политика: На Стыке Будущего И Прошлого]," Published Papers 021908, Russian Presidential Academy of National Economy and Public Administration.
    Full references (including those not matched with items on IDEAS)

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    More about this item

    Keywords

    critical loss analysis market definition SMS-notifications SSNIP test telecommunications.;

    JEL classification:

    • L40 - Industrial Organization - - Antitrust Issues and Policies - - - General
    • L41 - Industrial Organization - - Antitrust Issues and Policies - - - Monopolization; Horizontal Anticompetitive Practices

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