|Subject||Digital Economy and Competition Policy|
Your report should identify possible opportunities and challenges the emerging digital economy poses for competition policy by addressing the following:
- Definition of the digital economy and the benefits it brings to consumers, efficiency, and innovation.
- Discussion of the distinctive features of digital markets.
- Evidence of concentration in digital markets (by including and interpreting the appropriate measures). If there is evidence of concentration, which are the causes of persistent dominance and market power? Which are the implications for consumers? Your answer should refer to relevant theory and include appropriate diagram/s.
- The 5 big tech companies (i.e. Facebook, Google, Amazon, Apple and Microsoft) have made over 400 acquisitions globally over the last 10 years. Choose a company, include its profile and digital market and analyse its major acquisitions. Can this trend be harmful for competition? Discuss. Your answer should refer to relevant theory/s (e.g M&A: Motives, Types, etc.
- Recommendations on needed changes in competition policy to regulate digital markets in the UK.