Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Solve clearly 1.1 Read the following extract and answer question 1.1, 1.2. (4 marks) Evidence of domination Both the Competition Commission and Icasa found, in

Solve clearly

image text in transcribed
1.1 Read the following extract and answer question 1.1, 1.2. (4 marks) Evidence of domination Both the Competition Commission and Icasa found, in their inquiries, that Vodacom and MTN are dominant across the supply chain. Their dominance is even more entrenched by the spectrum-sharing deals that they have entered into with Cell C, Liquid Intelligent Technologies and Rain. Cell C is wholly reliant on MTN and Vodacom to provide mobile services, and Liquid and Rain are disincentivised from competing aggressively in the mobile market due to the lucrative deals they have struck to provide capacity to either Vodacom or MTN, or both. This has limited their ability to compete independently - leaving Telkom as the only entity in the position to be able to challenge the "cosy" market structure head-on. Source: https/techcentral co.za/mcleod-is-wrong-about-telkom/110373/ Accessed: 19/08/21 The economic argument being expressed in this extract is that of and has the consequence of a) Market failure, externalities by/Government failure, public goods being under-produced c) Market failure, inefficient allocation of resources. d') Government failure, production possibilities

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Austro-corporatism Past, Present, Future

Authors: Gunter Bischof

1st Edition

1000675858, 9781000675856

More Books

Students also viewed these Economics questions

Question

Define the three processes of the process value chain. LO1

Answered: 1 week ago

Question

2. It is the results achieved that are important.

Answered: 1 week ago

Question

7. One or other combination of 16.

Answered: 1 week ago