21. und 22. Mai X. Internationale ... - Bundeskartellamt

However it is important for competition authorities to remember the enormous
benefits brought about by these new economy developments:
- an increase in transparency, both in terms of the goods and services
available, and the price of those goods and services (Although as we shall
see a little later when I touch on issues relating to Business to Business –
B2B – exchanges, this price transparency is a double edged sword.);
- the growth in the size of markets: the availability of the Internet lowers
the barriers to entry for companies, allowing them to compete in wider
geographic areas than would otherwise be possible. This does not
necessarily mean that all markets are becoming global – factors such as
consumer demand and regulatory considerations may lead to national
geographic markets – but it will mean that companies from different
geographic areas will be allowed to compete in these national markets;
- a reduction in transaction costs: I have seen some estimates that the
use of a B2B exchange could cut transaction costs by 90 % for some
businesses. Even allowing for the inevitable exaggeration and hyperbole
that too often characterises this sector, there is clearly an enormous
potential for cost reductions in many areas of business. This will bring
tremendous benefits to the economy and, ultimately, to consumers.
These technological development are therefore pointing the way towards more
competitive markets: costs will be cut; producers will have improved access to
costumers; costumers will have greater information, greater choice of producers,
and lower prices.
There are all clearly positive developments. So do the competition rules still have
a role in these new markets?
An ally in need of supervision
The answer to that is clearly yes. Not least because these positive developments
can have less positive consequences: the lowering of prices, for example, will
squeeze the profit margins of many companies, increasing their incentives to
collude to keep prices high.
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