Competition Law deals with creating and maintaining competitive markets. Competition makes enterprises more efficient and offers wider choice to consumer at lower prices.
This ensures optimum utilization of available resources. It also enhances consumer welfare since consumers can buy more of better quality products at lower price. Fair competition is beneficial for the consumer, producers/sellers and finally for the whole society as it induces economic growth.
Competition Law And Intellectual Property
Intellectual Property and Competition are intertwined in their operation. The purpose of implementing the competition law is to curb monopolies and encourage competition whereas the Intellectual Property aims at protecting the research and development. So in simple words, on the one hand, Intellectual Property Laws work towards creating monopolistic rights whereas Competition Law battles it.
Competition law is framed with the objective of curbing abuse of market power by a dominant company and eliminating monopolization of the production and thereby encouraging new companies to enter into the market. So, the objectives of the Competition Act are to protect the interests of the consumers and ensure freedom of trade. The Competition Act, 2002 has widely accepted the intentions of IPR while framing provisions and it does not eliminate the dominance achieve by an individual due to such Intellectual Property Rights. Thus, a balanced approach is required to harmoniously construct both the statute and to clarify much upon that different jurisdictional opinion has to be taken into consideration.