ABSTRACT
Rules on competition would seem to be a restriction on business efficiency and a restriction on successful businesses and therefore on market forces. Competition law has been criticised on the basis that it in fact only sacrifices equity and efficiency to political goals. The competition rules can be used against firms regardless of the existence of a registered office in the European Union (EU), provided that its actions are capable of affecting trade within the Single Market. EU law only requires that penalties should apply where the actions of 'undertakings' affect trade between Member States. In terms of defending their position and avoiding a finding of dominance, undertakings will want to argue that the relevant product market should be defined as widely as possible. Article 101 requires also that the agreement must have as its 'object or effect the prevention, restriction or distortion of competition within the common market'.
