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Which Is Horizontal Agreement

agreement between the actual definition or definition of potential competitors, i.e. companies operating at the same level of the production or distribution chain. B and which include research and development, production, purchasing or marketing. Horizontal agreements can restrict competition, particularly when they involve price fixing or market-sharing measures, or when the definition of market economy services resulting from horizontal cooperation has negative market effects in terms of price, production, innovation or product diversity and quality. On the other hand, horizontal cooperation can be a way to share risks, reduce costs, pool know-how and accelerate innovation. For small and medium-sized enterprises in particular, cooperation can be an important means of adapting to the changing market. The factors that should be taken into account in obtaining such agreements are: in order to qualify for the category exemption for vertical agreements, the agreement must be a vertical agreement or a concerted practice between at least two companies dealing with the terms of the purchase, sale or sale of services or goods. The parties must operate at different levels of the production, supply and distribution chain within the meaning of the specific agreement. The class exemption does not apply where the agreement is between competing firms, unless competition is the result of only activities outside the agreement.

The parties must operate at different levels of the chain only within the meaning of the specific agreement, i.e. the parties can normally be competitors. However, when they act at different levels with respect to the agreement in question (. B for example, a manufacturer that agrees to deliver products made by another producer), it is a vertical agreement. Because of their nature, horizontal agreements are more a matter of Chapter I or Article 101 prohibitions than of vertical agreements. These are essentially agreements between competitors and, as such, it is important to ensure that these agreements do not have anti-competitive effects. In some cases, they may be considered an agreement, which can result in criminal sanctions.