European Law
European law refers to rules and regulations in place that allow businesses and entities to coexist with fairness. The European government has a number of rules that allow it to run competitive entities throughout the country of Europe. This helps define how corporations and governments provide restrictions and limitations that help utilities provide business services and goods fairly. This is set in place by a special board that ensures such provisions are executed called the European Commission. The commission works with businesses and corporations on different levels to ensure they run their establishments properly.
There is a competitive element of the law that ensures businesses and corporations don’t set standards too high. In other words they ensure prices and rates for goods and services are competitive but fair for the public. Some view this aspect as something along the lines of capitalism. Competitive prices ensure the public enjoy products and services at a fair price, but also allows other businesses to offer similar quality merchandise and have a fair shot at making a profit. The European law has some flaws in the system that allows other entities to come in and potential drive prices higher.
Another entity could come in and provide similar content through a fixed price element. This means they could provide products and services at the same price that is locked in or becomes the minimum. When this happens with a number of companies offering the same product consumers could pay higher rates. These actions are done by what is called a cartel. They may become a leader for a specific company or industry and decide to provide their services at a price they can all agree with, but often in a way the benefits them (the company).
The cartel in this sense breaks European law. Companies that are members tend to gain more benefit even though companies that are not members can enjoy similar outcome. Monopolies are something the law tries to avoid from occurring. This means they don’t want one company or corporation to become so large and dominate in their industry that its competition (small businesses) doesn’t have a fair chance in the market. Sometimes this may happen when a company merges with another. The European law also makes sure a business or entity does not receive too much aid or assistance from the federal level.