On China's Policy Orientation Of Enterprise Merger And Antitrust Law

Business merger reflects the requirements of mass production in modem society. It is beneficial for enterprise to raise money, improve business management, achieve economy of scale and safeguard the whole economic results. But excessive business merger will cause diseconomy scale and restrict fair competition in market So we call business merger a sword with two sides. While antimonopoly law is to defend fair competition and prevent excessive economic concentration. It is necessary for antimonopoly law to hold a degree to not only develop economy scale but also avoid monopoly in market This treatise studies and explores the relationship between antimonopoly law and business merger on the basis of the theory and practice of antimonopoly law. It consists of three parts.The first part talks about basic theories of business merger. Firstly it defines the conception of enterprise merger in enterprise law and incorposition in companies' law. On the basis of analysis and comparison in main body and the object of regulation, the author holds the concept of business merger in antimonopoly law and gives its definition. Secondly it lists the behavior and facts that business merger should includes. At the same time it also introduces some regulations in some foreign countries such as American and Japanese so on. Thirdly, according to the harm on fair competition it divides business merger into three types: horizontal mergers, vertical mergers and conglomerate mergers.The second part analyses the advantages and disadvantages of business merger. Firstly it introduces some merits such as raising of departmental monopoly business merger and regional blockade, promoting the rationalization of economic construction, achieving economy scale, accelerating the development of technology, improving market competition and macroeconomic regulation. But business merger will cause some disadvantages at the same time: it leads to the appearance of market power which damages fair competition, makes the production and technology stagnant Secondly it talks about some shortcomings of business by giving true facts and examples in practice.The third part studies the policy of antimonopoly law in business merger.Firstly it analyses our country's present situation, for example, enterprise's quantity is big but its scale is small and has not enough competitive power in international economic competition. After that it discusses the dialectical relationship between antimonopoly and economy scale. Then it advances that antimonopoly law should encourage enterprise to merge. Secondly it analyses the shortcomings of business merger and put forward that antimonopoly law should regulate business merger. Thirdly it suggests the whole policy of antimonopoly law in regulating business merger on the basis of simple introduction of foreign country's practice.