ZuoTi.Pro
Question

The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into the oil industry in Greece (e.g refining, wholesaling and retailing market segment) and claimed among others that multinational oil companies (BP Hellas S.A and Shell Hellas S.A) supported their filling stations (branded retailers) when competitors temporarily reduced prices to increase sales, requiring that the discount was passed on to the consumer (price support discount scheme). (a) Give an overview of the decision adopted by the HCC focusing solely on the wholesale oil market segment. Briefly describe the two oil companies. IMark: 0.5] (b) Define the relevant product(s) and geographic market(s) for the wholesale oil market segment in Greece. What type of quantitative economic tools are the proper ones to correctly delineate the relevant markets in such a case? [Mark: 0.5] (c) What economic arguments dictated the abolishment of the price support discount scheme by the HCC? [Mark: 1.0] (d) Did the competent Ministry adopt this policy measure? Critically discuss what was the impact of the relevant decision to consumers over the period 2009-2018 (i.e evolution of retail prices, consumption and variety of the petroleum products offered by the wholesalers) and how did the oil industry change thereafter in terms of competition Comment on your findings [Mark: 1.5] Hint: This is an essay type question and students are free to express their views provided that they are well grounded on economic analysis ad are logically consistent. Students ar use official sources that can be found online on the Hellenic Competition Commissions website and the answer should be at most two page answer should be at most two pages long.

business   economics   
0 0
Add a comment Improve this question Transcribed image text
Next > < Previous
Sort answers by oldest

Homework Answers

Answer #1

Answer:

a) BP Hellas S.A and Shell Hellas S.A are organizations which bargain in the exchanging of Petroleum and oil items and go about as the building span between the oil exacters and the oil buyers. They basically centre around the buy, marking, bundling, promoting and circulation of the fuel and fuel items. It was recently seen that organizations like this were enjoying exercises, for example, not passing on the advantage of the general fuel and oil value decrease to the clients, and the advantage was being caught up in its inner procedures The Hellenic Competition Commission was thus set up to investigate and determine the current situation. As per the initial findings of the Hellenic Competition Commission (HCC) determined and observed BP Hellas S.A and Shell Hellas SA were indulging in activities such as not allowing the product flow of the oil industry to continue as normal and they were trying to maximize their profits at the cost of the customers ignorance of the reduction in prices The discount market of Petroleum and oil items has had some unmentioned codes which guided all such oil exchanging organizations to work at a continuous pace and with no deficiencies. It is these two organizations that were observed to veer off from the standard practices and enjoying constraining overly ordinary benefit at the shoreline of the clients misfortuneb) The Oil Trading market in Greece has of late observed a great deal of prosper. Various oil exchanging organizations have fascinated themselves i developed the Greece Oil Trading organizations market. A portion of the essential items that these organizations manage are the exchanging of oils, fuel and fuel items, oil and oil items, the hardwares which are utilized in the fuel stations, items, for example, Glycerine, bio-diesel, the chips of the wood plant and that of the wood pellets, power generation and dissemination, managing in Car frill, fuel from paraffin and so on. the exchanging business and have The best market and economic process or tool to delineate or figure out the real market in the fuel and petroleum trading industry is the demand from the customers and their reviews after the product is being used. When customers are satisfied by the products they are buying and there is huge demand coming in for the similar products with the same trading company, it would mean that the company is dealing and trading in the best possible products Reviews from the customers would reveal as to the customers satisfaction level at the price at which the product is being bought. Moreover, proper and timely audits are also definite means of delineating the market for such companies.c) The value bolster markdown plot by the Govenment managed that the Government would partake in the obsession of the base measure of value that the organizations would charge from the clients (being explicit to the oil exchanging organizations). This, be that as it may, was not running in accordance with the security of the clients rights. The Hellenic competition commission found out that the oil trading companies were not passing on the benefit of the price reduction in the oil market to the customers and were charging the similar price. The price reduction benefit was all being absorbed by these companies On contradiction, it was found out that these companies could do so, as the price support from the Government was aiding these companies. Therefore, the Hellenic competition Commission had pushed for the total abolishment of the price support discount schemed) The Oil Trading industry had created as one of the biggest sectoral ventures of the Greece country by late first decade of the 21st century. Be that as it may, the weavers value segregation and the non-cooperation of these organizations in the general follow up of the upkeep of the standards in the Oil advertise had pushed the Government to comprise the Hellenic Competition Commission (HCC) The commission had very critically explained the current corrupt scenario in the Oil trading market and had adjudged many steps for the total renovation of the spirit of business and in the up keep of the policy norms that govern the business in the oil trading market. The Government had so far not been much involved in the business of such trading companies In any case, after the judgment of the Hellenic challenge commission, the Government wanted to intercede more in the process in which these organizations work, as at exactly that point it was conceivable to comprehend the provisos in the best possible upgradation and the execution of the clients advantage strategies. Amid the period from 2009 to 2018, a portion of the stringent measures were attempted to take out this industry from the grip of defilement and breaking down. By 2018, there are new way breaking changes that can be seen in the working of these organizations. These Trading organizations currently will undoubtedly pursue a portion of the tenets of the Government, passing by which, they would need to pass on the advantage of the decrease of the oil costs to the client Moreover, they have now also formed a commission among themselves and ensure that the prices that are fixed by the commission are being adopted by all the firms in unison so that there is no discrimination with the customers of any of the firms and the price is static and customer friendly. Moreover, it is now seen that these firms are operating in a more free and flexible manner, thereby earning good profit for themselves and the Greece economy

0 0
Add a comment
Know the answer?
Add Answer to:
The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into...
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions

  • The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into...

    The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into the oil industry in Greece (e.g refining, wholesaling and retailing market segment) and claimed among others that multinational oil companies (BP Hellas S.A and Shell Hellas S.A) supported their filling stations (branded retailers) when competitors temporarily reduced prices to increase sales, requiring that the discount was passed on to the consumer ("price support" discount scheme). (a) Give an overview of the decision adopted by...

  • The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into...

    The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into the oil industry in Greece (e.g refining, wholesaling and retailing market segment) and claimed among others that multinational oil companies (BP Hellas S.A and Shell Hellas S.A) supported their filling stations (branded retailers) when competitors temporarily reduced prices to increase sales, requiring that the discount was passed on to the consumer ("price support" discount scheme). (a) Give an overview of the decision adopted by...

  • The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into...

    The Hellenic Competition Commission (HCC) in a previous Decision (No. 418/V/2008) launched a sector inquiry into the oil industry in Greece (e.g refining, wholesaling and retailing market segment) and claimed among others that multinational oil companies (BP Hellas S.A and Shell Hellas S.A) supported their filling stations (branded retailers) when competitors temporarily reduced prices to increase sales, requiring that the discount was passed on to the consumer ("price support" discount scheme). (a) Give an overview of the decision adopted by...

  • Case: Enron: Questionable Accounting Leads to CollapseIntroductionOnce upon a time, there was a gleaming...

    Case: Enron: Questionable Accounting Leads to CollapseIntroductionOnce upon a time, there was a gleaming office tower in Houston, Texas. In front of that gleaming tower was a giant “E,” slowly revolving, flashing in the hot Texas sun. But in 2001, the Enron Corporation, which once ranked among the top Fortune 500 companies, would collapse under a mountain of debt that had been concealed through a complex scheme of off-balance-sheet partnerships. Forced to declare bankruptcy, the energy firm laid off 4,000...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT