Monday, June 17, 2024

Did Recent Platform Mergers Reduce Competition? Descriptive Analyses of 6 Platform Mergers

Did Recent Platform Mergers Reduce Competition? Descriptive Analyses of 6 Platform Mergers

Daniel McCarthy

Emory University - Department of Marketing

Kenneth C. Wilbur

University of California, San Diego (UCSD) - Rady School of Management

Abstract

The U.S. government's 2023 draft merger guidelines discuss multi-sided platforms for the first time, raising the importance of understanding past platform mergers. We describe how category competition indicators changed after six recent platform mergers, using a large consumer card spending panel. Perhaps surprisingly, five of the six mergers were followed by reduced concentration in consumer markets over a 12-month horizon; the lone exception was due to market share gains by a non-merging firm.

https://lawprofessors.typepad.com/antitrustprof_blog/2024/06/did-recent-platform-mergers-reduce-competition-descriptive-analyses-of-6-platform-mergers.html

| Permalink

Comments

Post a comment