This website uses cookies to ensure you have the best experience. Learn more

Anti Trust Laws Essay

1192 words - 5 pages


A Competitive America
Tonya Y. Stansberry
DeVry University

American businesses are based on free trade in a Capitalist system. In its simplest form this means that each business is free to compete with the next. That the entrepreneur is free to risk and open a business whether it is for social gain or profit. Businesses openly compete for the business of the client or customer because they need the income. Businesses have been competing among one another since the industrialization of the United States of America. There have not always rules and regulations to govern fair and equitable trade and business practices. ...view middle of the document...

Sherman Act
The anti-trust laws were created by Congress to protect the consumer and business and to save competition and free market. A recent example of a company that is aggressively acquiring or becoming a cable monopoly is AT & T who is acquiring DirecTV. The first of the anti-trust laws was the Sherman Act in 1890, which outlaws or prohibits “monopolization, or conspiracy or combination to monopolize.” ( If this deal goes through this will make AT&T and Comcast the primary cable networks, thus setting up a market where the consumer does not get a lower price because of a lack of competition. Free Press Chief Executive Officer Craig Aaron states that the wave of mergers is “about eliminating the last shred of competition in a communications sector that’s already dominated by too few players.” (Fottrell, para. 3) There will be only two major cable companies, they can set the price for cable and viewers would have little choice of what to pay. The Sherman Act was put in place to oversee these kinds of mergers and the Federal Trade Commission should monitor this merger as well.
If AT&T were found to be in violation of the Sherman act, the penalties for violating the Sherman act, for a corporation are up to $100 million and $1 million for a person with up to 10 years in a federal prison. To prove that they were in violation of the Sherman act would mean that they would have to be bid–rigging, collusion, or price fixing and they are doing none of those things. They are buying the company straight out. However, it is a merger that sets up an opportunity for a company to practice consumerism.
The Federal Trade Commission Act
The Federal Trade Commission (FTC) Act bans “unfair methods of competition.” and “unfair or deceptive acts or practices.” ( the number one complaint that the FTC deals with is identity theft. The age group hit the hardest and most often through identity theft is the 20-29 year olds. ( There are a variety of identity thefts from ATM card, to child, and medical all should be reported immediately. In 1998 Congress took steps to ensure that the identity thief could be persecuted for their crime.
Other deceptive practices have to be proven in court and are punished accordingly. Papa Johns was sued by Pizza Hut for their slogan “Better ingredients. Better Pizza.” because Pizza Hut stated that it was deceptive to the consumer and...

Other Papers Like Anti-Trust Laws

Top 10 Laws of Security Essay

1706 words - 7 pages Abstract It is very important to realize and understand the laws of security, by which all sectors in an enterprise or government can empower security within their perimeters. The higher understanding of this laws, the better security implementation is realized. These laws can be applied in each business field or any business environment. Such laws can be implemented in any degree of simplicity or complexity. Therefore, it is important to

Business Law Corporations Essay

520 words - 3 pages Torts and Crimes o Torts ▪ In the scope of the business/corp o Crimes ▪ Joint and several liability between the corp and officer ▪ Anti-trust laws ▪ Environmental laws • Merger o Shareholders get to vote • Consolidation • Liquidation • Dissolution o Nonjudicial dissolution ▪ Voluntary by the corporation itself o Involuntary Judicial dissolution ▪ Dissolved b/c of crimes o Administrative ▪

Week Three Knowledge Check

1856 words - 8 pages different stakeholders” (Jones, 2007, p. 150). Materials The Utilitarian Rule Concept: Laws Affecting Business Commerce Mastery 100% Questions 101112 Materials on the concept: Antitrust Laws The Legal Environment of Business Environmental Protection Laws Laws Relating to the Public Interest 10. Anti-trust legislation exists A. to make it illegal for companies to conspire with one another to limit supply B. because it is

Sales Ethic Is an Oxymoron

1816 words - 8 pages organization fully encourages ethical climate (Valentine and Fleischman 2008). The US government on its part contributed to instill ethics in sales by legislating Robinson-Patman Act, Sherman Anti-Trust Act and Clayton Act. Among these the Robinson-Patman Act is Anti-Price discrimination Act, Sherman Anti-Trust Act deals with formation of Cartel and monopolies and Clayton Act deals with Anti- competitive pricing(Hair et al.2009). Apart from these

Drug Company Ftc

1653 words - 7 pages have them prescribe the drug over others. This makes the drug company a lot of money and costs the consumers a lot of money because they are paying for a brand name drug, which has no generic substitute available. Anti trust laws were put into effect so that large businesses are unable to stop smaller business from infiltrating the markets that they pertain to. The anti trust laws help consumers because they allow for there to be competition

Environmental Factors

1564 words - 7 pages trade, and reduce conflict, several trade and anti-trust laws impact global marketing strategy. Companies are dependent upon each other, by means of supplies, goods, labor, and other services. Developing a marketing strategy involves developing relationships with foreign nations and government agencies. Global economic interdependence has allowed many companies, in addition to PepsiCo to expand and market its products globally while offering

Business Ethics Article

669 words - 3 pages have been investigated. The healthcare industry seems to be sensitive for corruption, fueled by low wages for doctors and other hospital staff (Jack, 2013). Dumex, and various of its competitors have recently been accused of price fixing, which is in violation with the Chinese anti-monopoly laws, these accusations eventually lead to price reductions of Dumex’ infant formula products (Astley, 2013). In the latest allegations, Dumex is accused

The Structure Behind the Business Ladder

2454 words - 10 pages the consumers, because they can plan their expenditures well (Pettinger). They will have an idea of around how much each product usually costs. To prevent zero competition and companies from merging, anti-trust laws are implemented by the government. Their main objective is to remove monopolies and oligopolies. They are created to promote competition and to keep prices low (Federal Trade Commission). Over the past years, different anti-trust

Emt Job Description

2099 words - 9 pages commitment to this, please refer to the Trust’s Data Quality Policy. Standards of Business Conduct: It is the responsibility of all employees to conduct all business in an honest and ethical manner. The Trust is committed to acting with integrity in all its dealings and relationships and to implementing effective systems to prevent bribery. The Trust will uphold all laws relevant to countering bribery and corruption, including the Bribery Act


2095 words - 9 pages , Muslims, Sikhs, Jews, even Christians” in the ashram; working and living all in one community. (Attenborough, 1982). When the two are discussing the South African laws, (which are very anti-Indian), Walker asks Gandhi if he will indeed obey the law? Gandhi replied, “There are unjust laws – as there are unjust men.” To this, Walker replies, “You are a very small minority to take on the Government – and the Empire.” Gandhi seems trapped by this

Sneaking A Peekmetime Cost You: Genetic Testing A Price To Pay

1518 words - 7 pages affirmed. In the case study regarding Danville Airlines, Human Resource Director Julie Taylor and Pilot David Reiger a trust test was given, result were discovered, and now decision will have to be made because sneaking a peek into the lives of others sometime will cost you. What the cost? Only with time they will know as we discuss what laws, feelings and interpretation affect the rights and trust between employer and employee. The study

Related Essays

Anti Trust Laws Essay

736 words - 3 pages ’s. The Sherman Act states that “Every contract, combination in the form of a trust or otherwise, or conspiracy, in restraint of trade or commerce among several states, or with foreign nations is declared to be illegal.” This surprising short sentence is the cornerstone for our antitrust laws today. The Sherman Act basically outlawed restraints of trade, meaning anything that would restrain the flow of free trade. This gave a firm foundation for

Thesis Problem Statement Essay

528 words - 3 pages of monopolistic and anti-competitive trade practices that are detrimental to industry competitors and consumers. Microsoft contends that it has fostered innovation and competition and has not engaged in monopolistic practices. Over the course of this project, I will examine the historical and current applications of anti-trust law and utilize these laws to develop an analysis of the Microsoft case. Rationale: The history of Anti-Trust

Competition Essay

668 words - 3 pages resources, economies of scale, and predatory pricing that stunt future innovation and efficiency. To ensure this competitive environment, the EU utilizes anti-trust laws, merger control, and state aid rules. According to the EU competitive policy report, in 2006 41 undertakings were fined a total €1846 million, illustrating the magnitude of dominant firms and cartels abusing power within the EU. Issuing fines exercises the EU’s anti-trust policy

Analyze Contemporary Health Care Issues Essay

854 words - 4 pages Valerie Seagraves February 2, 2014 HCA-240 (HCA-240-0101) Paula Arceneaux Analyze Contemporary Health Care Issue One critical issue that can be found that will impact both the “profit and not for profit” organizations will be the “Hospital Anti-Trust Law”. (,Peter J.Hammer and William M. Sage) When it comes to a hospital, doctors, and hospital payers, this seems to be a “common” thing and