Merger Control in France: An Empirical Analysis of Rulings by the Competition Council
Janin, Lionel
Merger Control in France: An Empirical Analysis of Rulings by the Competition Council - 2008.
68
We consider the factors explaining the rulings by the French Competition Council (Conseil de la Concurrence) in merger cases, to which we apply a latent-variable decision model. We use the factors mentioned in Council opinions as explanatory variables, although we acknowledge that this raises a potential endogeneity issue. In an initial specification, entry barriers and buyer power are shown to be the main supporting arguments given in the opinions. Using a second specification that excludes some endogenous factors, we find that market share and the industry concerned are the more objective determinants of the opinions, but with low explanatory power. For a selected group of transactions, we also compare Council opinions with stock market reaction to merger announcements.
Merger Control in France: An Empirical Analysis of Rulings by the Competition Council - 2008.
68
We consider the factors explaining the rulings by the French Competition Council (Conseil de la Concurrence) in merger cases, to which we apply a latent-variable decision model. We use the factors mentioned in Council opinions as explanatory variables, although we acknowledge that this raises a potential endogeneity issue. In an initial specification, entry barriers and buyer power are shown to be the main supporting arguments given in the opinions. Using a second specification that excludes some endogenous factors, we find that market share and the industry concerned are the more objective determinants of the opinions, but with low explanatory power. For a selected group of transactions, we also compare Council opinions with stock market reaction to merger announcements.
Réseaux sociaux