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Dominance / Abuse

A company can restrict competition if it is in a position of economic strength on a given market. A dominant position is not in itself anti-competitive, but if the company exploits this position to eliminate competition, it is considered to be an abuse. 

Article 102 of the Treaty prohibits firms holding a dominant position on a determined market to abuse that position, for example by charging unfair prices, by limiting production, or by refusing to innovate to the prejudice of consumers.

According to the new approach in EU competition law, the more economics based approach, the application of Article 102 was modernised as well.

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