Classified directory advertising services: CC issues statement

Competition Commission (CC) issues statement (7 pages, PDF) as part of its investigation into the supply of classified directory advertising services under the Enterprise Act 2002. The statement lists a number of issues to be considered on market definition, on barriers to entry, on market structure, on the effects of Yell's current undertakings (which include a price control), on pricing behaviour and price trends, on the nature and extent of competition and on profitability. More than 60 different points are picked out for consideration. Although the CC highlights six issues on which it plans to concentrate its analysis, the issues statement does not include explicit hypotheses on how any market feature (or combination of market features) prevents, restricts or distorts competition. According to its timetable the CC's "emerging thinking" is due mid November, its provisional findings in February 2006 and it has until the end of June 2006 for the final report.

The OFT's reasons (PDF, 15 pages) for making the reference to the CC were published in April 2005.

Update, June 2006: summary of provisional findings published.

Filed under Competition Commission, Media.

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