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iors are; discriminatory pricing, refusal to deal and other discriminato-
ry practices. Undertakings use customer differences to implement dis-
crimination in order to increase their profit. An undertaking in a dom-
inant position can directly or indirectly discriminate.
Direct discrimination is generally seen as imposing different pric-
ing to buyers. Imposing different pricing is also an example for price
discrimination.
Imposing price discrimination through vertical agreements creates
anti-competitive effects such as pushing competitors out of the market
and putting buyers in disadvantageous positions in competition.
In indirect discrimination, same actions have different outcomes.
For example, implementing different price regulations to two different
buyers but providing discounts to only one buyer is an indirect dis-
crimination. In the Digiturk decision the Board ruled administrative
fine on the ground that Digiturk imposed discrimination in favor of
Show TV and abused its dominant position
8
.
The Guide evaluated discrimination as an abuse; however, it does
not consist any specific regulations.
Conclusion
Undertakings in dominant positions foreclose the market through
vertical restrictions. These are exclusive purchase agreements, tying
and discrimination. Discrimination is seen mainly as, discriminatory
pricing, refusal to deal and other discriminatory practices. Vertical
restrictions push competitors out of the market, put buyers in disad-
vantageous positions in competition and limit customer preferences. In
many Board decisions vertical restrictions were accepted as abuse of
dominant position and undertakings were subject to administrative
fines.
COMPETITION LAW
239
8
Board decision dated 28.08.2002 and numbered 02-50/636-258.