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Distribution of new cars – no longer an issue for EU competition law?

Author

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  • Šmejkal Václav

    (Škoda Auto University, Department of Law and Economics, Na Karmeli 1457, Mladá Boleslav, 293 01, Czechia)

Abstract

Distribution cartels in the automotive sector used to be frequently dismantled and sanctioned by the European Commission and the EU Courts still some 15 years ago. In recent years, however, only a few cases have been reported at the national level of EU Member States. Is it because the distribution of new cars really ceased to be a competition problem as the European Commission declared when it removed this part of the automotive business from the specific Block Exemption Regulation for the automotive sector in 2010? The purpose of the present analysis is first to inspect the car distribution cases that emerged in the EU after the year 2000 and, second, to speculate somewhat whether new forms of distribution, brought by the digitalization of marketing and sales, cannot bring about also new risks to cartel agreements and other types of distortions of competition in car sales.

Suggested Citation

  • Šmejkal Václav, 2021. "Distribution of new cars – no longer an issue for EU competition law?," Review of Economic Perspectives, Sciendo, vol. 21(4), pages 371-383, December.
    • Handle: RePEc:vrs:reoecp:v:21:y:2021:i:4:p:371-383:n:2
    DOI: 10.2478/revecp-2021-0016
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    More about this item

    Keywords

    EU competition law; distribution of new cars; vertical cartels; national competition authorities;
    All these keywords.

    JEL classification:

    • L42 - Industrial Organization - - Antitrust Issues and Policies - - - Vertical Restraints; Resale Price Maintenance; Quantity Discounts
    • K21 - Law and Economics - - Regulation and Business Law - - - Antitrust Law
    • K42 - Law and Economics - - Legal Procedure, the Legal System, and Illegal Behavior - - - Illegal Behavior and the Enforcement of Law

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