ABSTRACT

This chapter aims to develop a framework in which to analyse trade and antitrust linkages in a systematic way. It introduces the case study based research. The chapter attempts to classify industries by the nature of production, competition, competitive advantage, degree of multinational enterprises activity and the extent of government intervention in these sectors. It identifies four 'types' of industry: natural resource industries, complex manufacturing industries, internationally traded services and R&D intensive industries. R&D intensive industries are industries in which competitive advantage is determined by the ability of firms to gain a return from investment in product and process development. International trade policy and competition policies come into conflict where one government requests another government to persuade its producers to restrict voluntarily their exports. The use of average cost calculations in anti-dumping measures may discourage the behaviour at the expense of lower-priced products and to the consumers detriment.