25 June 2006

Lost in Translation: The use and abuse of diversion ratios in unilateral effects analysis

It is widely recognised that diversion ratios can provide a useful tool when analysing the unilateral effects of a merger. […] In principle, a reliable diversion ratio approach dispenses with any need to measure the relevant market because it measures directly the extent of the competitive constraints that disappear due to the merger. However, there are many pitfalls in using diversion ratios to make predictions of the impact of a merger on competition.

Downloadpdf (70 KB)

Our experience and expertise means our clients have the best chance of success before competition authorities and courts.

We have unrivalled experience across the full range of issues presented by competition law and related associated litigation.


All Articles
  • Article05/05/2023
    RBB response to the EC’s updated Article 102 TFEU Guidance and Policy Brief
  • Brief 6601/11/2022
    Seeing vertical mergers through a different lens? Implications from EssilorLuxottica / GrandVision