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Critically evaluate Commission Regulation (EC) No. 1400/2002 and its likely impact on the system for retailing and distribution of motor vehicles in the European Union (Paperback)
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Critically evaluate Commission Regulation (EC) No. 1400/2002 and its likely impact on the system for retailing and distribution of motor vehicles in the European Union (Paperback)
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Seminar paper from the year 2003 in the subject Law - Civil /
Private / Trade / Anti Trust Law / Business Law, grade: 74% with
Distinction, Cardiff University (Grossbritanien; Law School),
course: Competition Law (Wettbewerbsrecht), language: English,
abstract: In 2002 around 100,000 main dealers1 were involved in the
distribution of 14 million new registered passenger cars2
throughout the European Union. This impressive fact describes only
a small part of one of the biggest industries in the EU. The
European car industry is described as a "national champion" among
EU competition law experts. However, even the best industry is
nothing without an efficient distribution system. Distribution of
motor cars in the EU has been governed for nearly 20 years by the
legal device of block exemption regulations. The latest block
exemption, Regulation 1400/023, came into force on 01 October 2002
and brought fundamental changes. This essay intends to analyse
these changes and to predict their likely impact on the car
distribution sector. For that purpose it is first necessary to
describe the present distribution systems used by car manufacturers
throughout the EU (A.I.), to outline the approach of EC competition
law towards these specific distribution systems and to explain the
Commission's general policy of granting block exemptions (A.II.).
Part B of this paper is concerned with specific issues regarding
the new block exemption. Major changes are highlighted and compared
with the former regulation. The likely impact of the new regime on
the distribution systems in the EU will be evaluated in part C. By
taking into account current available data and trends in the motor
industry I will give a projection of what outcome the new
regulation may lead to
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