KUWAIT Law and Practice Contributed by: Alex Saleh, Asad Ahmad, Khaled Al Makhezeem and Liana Rashid, GLA & Company
(a) comparing the products subject to the transaction with other similar products in the market; and (b) the availability of substitute products to consumers. • Determining the possibility of competition within a relevant geographical area with the following standards in mind: (a) the ability of the consumer to move from one geographical area to another; (b) the ability of vendors to make changes based on the movement of purchasers between various geographical areas due to the relative change in the prices or other competitive factors; (c) barriers to entering the relevant market; (d) costs of moving between geographical areas; and (e) customs and administrative restrictions at the local and foreign levels. • The market share of the relevant persons. • Revenues and assets of relevant persons. • Actual or possible competitiveness in the relevant market. • The extent of ease of entry into the relevant market. • The possible influence on prices of relevant commodities or services. • The barriers to entry affecting new or poten - tial competitors. • The possibility that a dominant position in the relevant market is created. • The possible influence on creativity, innova - tion and technological efficiency. • The extent of the impact on investment or export encouragement. • The impact on consumers’ interests. 4.2 Markets Affected by a Transaction Unfortunately, at this stage the regulations do not provide much guidance on this issue. The Kuwait Competition Law provides that the rel -
evant geographical area is the area where the products regarded as interchangeable are sub - stituted. It also provides that the relevant prod - ucts are products which are regarded as inter - changeable or substitutable in terms of meeting the needs of the recipient of the service or the commodity. 4.3 Reliance on Case Law Unfortunately, at this stage the regulations do not provide guidance on this issue. However, it is likely that case law will play a relatively small role in influencing the enforcement of the Kuwait Competition Law. 4.4 Competition Concerns See 4.1 Substantive Test . 4.5 Economic Efficiencies The Kuwait CPA considers the possible influence of economic efficiencies. However, the extent of There are no formally approved additional con - siderations that the Kuwait CPA may take into account where the considerations fall outside of the scope of the application of the Kuwait Com - petition Law. 4.7 Special Consideration for Joint Ventures There are no other special rules provided for in the Kuwait Competition Law pertaining to joint ventures in particular. this consideration is not apparent. 4.6 Non-Competition Issues
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