Relevant market delineation with the use of strategic business information.

Abstract

In his paper a, overview of methods used in antitrust analysis to delineate relevant markets is provided and shortcomings are pointed out. A practical methodology to delineate relevant geographical and product markets is developed, starting from the theoretical definition of a relevant antitrust market. Based on criteria used by business strategists in segmenting markets, the new methodology makes use of strategic information on the position of a company and its competitors in a specific industry sector to delineate relevant markets. The usefulness of the new methodology is illustrated from the European truck industry.