Formative essay

Topics: Consumer protection, Consumer, Business Pages: 2 (983 words) Published: October 27, 2014

The Australian Competition and Consumer Commission regulates both competition and consumer protection. Is this institution effective in its role? Why or why not? The Australian Competition and Consumer Commission (ACCC) is an institution that deals with disseminates competition and fair trade in the market to help benefit consumers, businesses and the community. Their primary responsibility is to ensure that individuals and businesses comply with Australian competition, fair-trading, and consumer protection laws - in particular the Competition and Consumer Act 2010 (https://www.accc.gov.au/about-us). This essay will argue if the ACCC is effective at its role in regulating competition and consumer protection. This paper with analyse the ACCC role in food retail, abuse of power in the market. There will also be discussed how the Australian Competition law affect small businesses and the ACCC and the new regime. The Australian Competition and Consumer Commission (ACCC) is the national regulator in the new competition regime (Fels, A. 1996). Their task is to endorse competition where it is flawed and to reserve competition where it is operative. They are to protect the position of consumers in dealings to do with businesses. The commission will try to persuade and coax businesses into pursing their interests as long as it is within legally defined limits of fair competition. Where it proves inadequate, the commission will become the enforcer. The ulterior objective of the ACCC is to improve the welfare of Australians by promoting a more competitive and efficient economy. Although they do a lot to help the welfare of Australia, there have been a lot of critics that said that the ACCC has used ‘its position of strength to ‘bully’ business into complying with its directives without necessarily sticking to the formal legal process,’ and that the ACCC has been too willing to ‘twist arms’ to ‘extract’ injustice or unduly expansive undertakings (Parker, C. 2004). The...

References: Richards, C., Lawrence, G., Loong, M., Burch, D. (2012). A toothless Chihuahua? The Australian Competition and Consumer Commission, neoliberalism and supermarket power in Australia. Retrieved from: http://web.b.ebscohost.com/ehost/pdfviewer/pdfviewer?sid=e66b387a-cf03-4804-b428-dfd6c121d6c3%40sessionmgr114&vid=1&hid=125
Shaper, M.T. (2009-2010) Competition law, enforcement and Australian small business sector. Retrieved from: http://web.b.ebscohost.com/ehost/pdfviewer/pdfviewer?sid=0990d7fc-cb75-4906-8262-2af0183ad8c6%40sessionmgr111&vid=0&hid=125
Fels, A. (1996). The Australian Competition and Consumer Commission and the New Regime. Retrieved from: http://web.b.ebscohost.com/ehost/pdfviewer/pdfviewer?sid=1b16a76e-837e-4d95-bc21-fa7f5a7a114f%40sessionmgr115&vid=0&hid=125
Parker, C. (2004). Restorive Justice in Business Regulation? The Australian Competition and Consumer Commission’s Use of Enforced Undertakings. Retrieved from: http://web.b.ebscohost.com/ehost/pdfviewer/pdfviewer?sid=328d370a-4bd7-41f1-8c15-c183d19f0cbd%40sessionmgr110&vid=0&hid=125
Australian Competition and Consumer Commission (ND). About Us. Retrieved from: https://www.accc.gov.au/about-us
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