Lafarge Roofing (Pty) Ltd and Kulu Concrete Products and Others (63/LM/Jul06)
Lafarge Roofing (Pty) Ltd and Kulu Concrete Products and Others (63/LM/Jul06) [2007] ZACT 41; [2007] 2 CPLR 314 (CT) (18 June 2007)
The Tribunal found that the relevant product market is the manufacture and supply of concrete roof tiles, not the broader market for pitched roof coverings. Alternative roofing materials, such as steel, do not exert sufficient competitive discipline on concrete tiles due to significant price differentials, differing customer perceptions, and distinct input cost drivers. The geographic markets were defined as Gauteng, Western Cape, and Greater Durban (KwaZulu-Natal), with the latter refined to a coastal market centered around Durban. In Gauteng, despite high concentration post-merger, entry ba…
Source excerpt
- Horizontal Merger
- Market Definition
- Entry Barriers
- Remedies
- Herfindahl Hirschman Index
- Divestiture