Types Of Economic Concentration In Competition Law (Mergers And Acquisitions)

Mergers and acquisitions between companies that produce goods or services in a market bring about benefits such as product quality and the development of new products. However, mergers and acquisitions can also be made for purposes that limit competition by creating a dominant position or strengthening the current dominant position. In the second case, the mergers and acquisitions in question are prohibited under Article 7 of Law No. 4054. In accordance with article7 , "It is a violation of law and is prohibited for one or more undertakings attaining a dominant position or an existing dominant position gaining power by mergers that will cause a decrease in competition in any goods or services market in the whole or a part of a country, an undertaking or an entity acquiring another undertaking's assets as a whole or partly or their partnership shares or means that give them the authority to have rights on management with the exception of acquisition by inheritance.".