2 ms·
> No. Not in the economics of antitrust. There is no "too much market share" threshold. Unless consumer welfare is harmed there is no reason to complain that a
by tablespoon 5y ago
> No. Not in the economics of antitrust. There is no "too much market share" threshold. Unless consumer welfare is harmed there is no reason to complain that a firm is "too big."
Consumers are harmed by a "too big" firm that's under little to no pressure to improve its products. The retort to that usually "wait a few decades until the market sorts that out," but frankly, I could be dead by then.
Another poster addressed how the "consumer welfare" standard is not so much an economic argument, but rather a legal enforcement framework. I see little mechanism for consumer welfare to be harmed by the creation of multiple successor companies that all share the same successful formula of the "too big" firm but now have to compete with one another.