COMPETITION • EUROPEAN & FRENCH LAW • MARKET
Own consumption refers to the production of goods or the provision of services necessary for the activity of an undertaking. It is not part of the supply on a market. The concept of a relevant market supposes that an effective competition can exist between the products that are part of it. Thus, self-assistance does not belong to the free market as there is no meeting of supply and demand with an agreement concluded and payment of a price. It is not however excluded from the assessment of a new entity’s market power. Similarly, the overall market for contract catering for example cannot include catering carried out by self-managed local authorities, since the latter do not represent an alternative for customers seeking third-party catering. In respect of the high volume of goods for own consumption produced by some undertakings, the control authorities have adopted a method of assessment based on the theoretical production capacity of producers in order to better ascertain their actual impact on the market and thus assess their market share.