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CS Professional · Corporate Restructuring, Valuation and Insolvency · Regulation of Combinations

Zenith Retail Ltd and Arjun Foods Ltd notify a combination to the Competition Commission. While examining its effect, the Commission wants the correct statutory list of factors for the 'relevant geographic market'. Which of the following is one of the factors the Commission must have due regard to in determining the relevant geographic market under the text provided?

Transport costs is the correct answer. The Act lists it among the factors for determining the relevant geographic market, along with language and consumer preferences. Exclusion of in-house production, specialised producers and classification of industrial products are relevant product market factors.

  1. ATransport costsCorrect
  2. BExclusion of in-house production
  3. CClassification of industrial products
  4. DExistence of specialised producers

Explanation

The provided text lists transport costs among the factors for the relevant geographic market. The other three are listed as factors for the relevant product market, so they belong to a different test.

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