Spares inquiry
11th June 1983, Page 14
11th June 1983
Page 14
Page 14, 11th June 1983
— Spares inquiry
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Keywords :
Corporate Finance, Mergers And Acquisitions, Political Economy, Molecular Assembler, Monopoly, Business / Finance
CONCLUSIONS drawn by the Monopolies and Mergers Commission from its inquiry into the car spares market have placed the law squarely on the side of free marketing.
Agreements which preclude franchise dealers from purchasing parts from sources other than vehicle assemblers are illegal.
Sue Leggatt, new editor of Motoring Which?described how the vehicle assemblers' involvement had grown through their "own-makes" operations and through contracts with component manufacturers.
Her work with the Consumer Association had revealed evidence that some assemblers had sought to restrict competition, particularly in the replacement market.