Competition economics is just as concerned with quality as it is with prices. However in practice, quality effects are more difficult to asses. Quality is a subjective concept and therefore harder to define and measure than prices.

 

The economic logic is that purchasing decisions of consumers are influenced by price and non-price/quality considerations. The perception of quality is the value consumers derive from a product or the flow of service. Possible indicators for the measurement of quality are the attributes linked to a specific service or product.

 

EE&MC uses empirical analysis to determine how quality will change in response to varying degrees in the context of particular markets. Since decades EE&MC uses qualitative and quantitative tools such as customer surveys to assess quality (changes). The EE&MC record on measuring changes in quality in order to delinate antitrust markets is impressive. 

 

The role and use of quality is a necessary element in defining the boundaries of the relevant digital market as well as in assessing the legality of horizontal and vertical restraints. The role of quality effects in merger controls, and in particular, a trade-off analysis between quality and price effects, is another area EE&MC is active.

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