On The Substantial Lessening Of Competition (SLC) Test In The Examination Of Undertakings' Concentration Practice

The "Substantial Lessening of Competition" (SLC) test is a substantive standard which is adopted by antimonopoly law executive authority in examining the concentration practice of undertakings.That means if the authority holds the view that the concentration practice of undertakings may impose a substantive harm on competition, the concentration practice will be prohibited.The statues form of the "Substantial Lessening of Competition" test was firstly appeared in U.S. "Clayton Act",Article VII in 1914.The original scope of application was small;however, it has increasingly expanded after a series of legislations. The SLC test has certain advantages comparing with the "Dominance" test and"Significantly Impedes Effective Competition"(SIEC) test, therefore it has a worldwide application.The SLC test is mainly applied to clarify whether the contents of "substantial" and "lessening of competition" are involved in the harmful results imposed on competition by the concentration practice of undertakings.The test for concentration of undertakings in China's Anti-monopoly law has the feature of ambiguity. According to that, the characteristic of guidance of the law has not been well reflected.As a matter of fact, the establishment of the SLC test is quite necessary for the review of undertakings'concentration in China's antimonopoly law, as well as some practical significance. This dissertation analyzes the emergence, superiority and the application of SLC test and puts forward the proposal that the SLC test should be applied in the anti-monopoly law of China while regulating the concentration practice of undertakings in order to strengthen the guidance of the law.