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Should the US break up LVMH given how dominant they are in luxury goods?
by senttoschool 3y ago
Should the US break up LVMH given how dominant they are in luxury goods?
- hfkwer 3y agoCan you give a reasonable argument why they shouldn't? I'm not sure you're making the point you think you're making.
- senttoschool 3y agoThey think that Google doesn't have enough competition right? So they want to regulate their markets. But as we know, Google's entire business is hugely threatened by LLMs. Over time, all companies die and get outcompeted. Google won't be any different. You don't have to regulate.
- hfkwer 3y agoAre you replying to the correct comment? What you've written is completely unrelated to mine.
- Etheryte 3y agoI don't think this is a very healthy approach. This is similar to saying that we shouldn't regulate what chemicals companies put into food because eventually the companies die and it won't be a problem. We want things to get better now, not in some abstract far away future.
- Spivak 3y agoIt's not that they shouldn't but that they won't because every government is skittish to kill their own golden calves. It's easy to penalize foreign companies because it's not your country's income that's affected.
- hfkwer 3y agoSo you're simply partaking in whataboutism? What does this bring to the discussion?
- Spivak 3y agoThat I a think this is going to eventually come to a political head and be resolved with a treaty rather than EU courts because Google's (and Facebook with the end of the data sharing agreement) redress is going to be appealing to the US. US tech companies have a very strong narrative right now that the EU's privacy and antitrust regulations are in effect, even if not intentional, a money extraction scheme. The EU has sued Google now 7 times under this statute as well as multiple times targeting Facebook, Amazon, Microsoft, and Apple. It's getting really hard to argue that they're not just going after the deepest (foreign) pockets with laws that are vague enough you could make a case against any medium sized tech company. The EU fined Luxottica $125 million and explicitly allowed them to merge with Essilor.
- dontupvoteme 3y agoThat would arguably just make them more valuable.
- ragebol 3y agoYes, please do!
- RobotToaster 3y agoYes please, do luxottica while you're at it.
- senko 3y agoPlease do DeBeers first!
- ohgodplsno 3y agogod please yes.
- sofixa 3y agoThat's a good point, but falls apart under a closer look. I'd argue luxury goods are by definition a completely separate market where the same rules simply don't apply; something as essential (not in the classic economic sense of starving without them, but in the practical sense that pretty much everyone uses it practically on a daily basis) as search, online ads, etc. should be regulated entirely differently. The impact and importance of impact is entirely different. If there's anything to break up in terms of European companies, that'd be Alstom which are top 2 in rail transportation (but whose competition from China is growing rapidly so their global position is under threat), which btw wasn't allowed to merge with Siemens. Can't really think of another sane example.