Vertical financial interest and corporate influence

Arbeitspapier

The established literature on partial vertical ownership has derived distinct pro- and anti-competitive effects, depending on whether the upstream or the downstream firm holds the shares (forward or backward). We show that forward ownership can have the same effects as backward ownership (and vice versa) when it entails both profit and control rights. Moreover, we demonstrate novel anti-competitive effects of partial ownership that arise when the upstream tariffs are non-linear. This contrasts well-established findings that are based on linear tariffs and adds to the current debate on how to treat partial shareholdings in merger control.

Object Details

• ISBN: 978-3-86304-308-7
• Language: Englisch

References and Relationships

• Bibliographic citation: Series: DICE Discussion Paper ; No. 309

Classification and Topics

• Classification: Wirtschaft ; Firm Organization and Market Structure ; Antitrust Issues and Policies: General
• Subject: corporate influence ; financial interest ; minority shareholding ; partial ownership

Contributors, Places and Time

• Event: Geistige Schöpfung
• (who): Hunold, Matthias ; Schlütter, Frank
• Event: Veröffentlichung
• (who): Heinrich Heine University Düsseldorf, Düsseldorf Institute for Competition Economics (DICE)
• (where): Düsseldorf
• (when): 2019

Further information

• Handle: http://hdl.handle.net/10419/193188
• Last update: 10.03.2025, 11:42 AM CET