To preserve well-functioning of product markets, the Commision monitors the following areas:
Cartels: a cartel is a group of similar, independent companies which join together to fix prices, to limit production or to share markets or customers between them. The consequence is the customers paying more for less.
Antitrust: competition encourages companies to offer consumers' goods and services at the most favourable terms. It encourages efficiency and innovation and reduces prices.
State aid: state aid is defined as an advantage in any form (money, reduction of taxes, guarantees) conferred on selective companies by national public authorities.
Mergers: some mergers may reduce competition in a market, usually by creating or strengthening a dominant player.
Liberalization: some essential services — energy, telecommunications, transport, water and post — are still controlled by public authorities rather than private companies in some countries.
International cooperation: in today’s globalised economy, companies operate increasingly across national borders. An effective enforcement of EU competition policy in a global environment therefore requires intensive cooperation with competition authorities outside the EU.