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EUROPEAN COMMISSION DG Competition - page 105 / 113

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analysis must be conducted on the overall “systems” market. Dominance would then have to be established on this market and not on a separate aftermarket.

Scope of this section 250. The remainder of this section analyses the case where a separate aftermarket consisting of the secondary products of one brand of primary product has been identified.

10.2.2 DOMINANCE

When secondary product market separate 251. If an aftermarket consisting of the secondary products of one brand of primary product has been found to constitute a relevant product market, a dominant position on such a market can only be established after analysis of the competition on both the aftermarket and the primary market.

Consider possibilities and incentives for supplier of other brands of secondary products 252. In the analysis of entry barriers to the aftermarket, attention should be given to the

possibilities and incentives for suppliers of other brands of secondary products to adapt their products to allow entry into the aftermarket under investigation. In many aftermarkets the supplier of the primary product has proprietary rights - such as patents - or private information making entry difficult. Furthermore, suppliers of other primary products may be wary of entering the secondary market of a rival supplier for fear of retaliatory entry into their own secondary market.

253. The supplier of the primary product often has a very strong position on the aftermarket. If entry barriers are high it is therefore often easy to reach the conclusion that competition on the aftermarket on its own is not sufficient to restrain the supplier of the primary product. In such cases the link between primary market competition and the aftermarket determines whether a dominant position is found.

Distinguish effect on customers who have bought primary product

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