A Research On The Combination Of Enterprises On The Basis Of The Anti-trust Law

It is very popular for the enterprise to combine other enterprises in the world now. The merge between enterprises is a kind of means to pursue economics of scale and is also the necessary result of competition in the market. However, extra merger can result in the monopoly. So, the antitrust act of our country should also have some principles about the combination of enterprises so as to maintain the competition.In the first part of the paper, the author points out the implication of monopoly, its cause of formation, its types and its effects on our society and economy At the same time, the author also analyses the bad influence of monopoly on competition, it is possible for any kind of combination of enterprises to result in the monopoly and harm the competition. This shows the necessity of the antitrust act to limit the combination of enterprises.The second part introduces briefly the antitrust laws related to the combination of enterprises in the United States, including the Sherman Act, the Clayton Act and the Merger Guidelines issued by the Ministry of Justice and the Federal Trade Committee . The enforcement of these laws by the law court and government is introduced, too. And the author sums up the experiences that can be used in the lawmaking and law enforcement of our antitrust act in the limitation of enterprises combination.The special surroundings of enterprises combination in China and how to prevent and eliminate the bad effects brought by the enterprises combination from the procedures and practical affairs are analyzed inthe third part. China now is carrying out the policy of attracting foreign investment, while the transnational enterprises look upon the combination of enterprises as an important means of investment in China . It is also possible to result in monopoly. At the same time, our enterprises are usually small in the scale and are often forced to combine each other by the government to set up enterprises group. If too excess, this can also lead to the restrictions to market competition. Considering China' s specific conditions, the author think that we must supervise strictly the combination involved with the foreign enterprise and make evaluation at regular times. When setting up enterprise groups in China, of course we must forbid the monopoly, but we should also aim at strengthening their international competition capacity with respect to the enterprise group law.