BUSINESS ADMINISTRATION
BUSINESS ENVIRONMENT
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Question
[CLICK ON ANY CHOICE TO KNOW THE RIGHT ANSWER]
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Repeal of MRTP Act 1969
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More stringent rules
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Tight control over mergers
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None of these
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Detailed explanation-1: -The Monopolies and Restrictive Trade Practices Act, 1969 [MRTP Act] repealed and is replaced by the Competition Act, 2002, with effect from 01st September, 2009 [Notification Dated 28th August, 2009].
Detailed explanation-2: -MRTP Act was repealed and is replaced by the Competition Act, 2002, with effect from September 1, 2009. To ensure that the operation of the economic system does not result in the concentration of economic power in hands of a few. To provide for the control of monopolies.
Detailed explanation-3: -Difference between MRTP Act, 1969 and Competition Act, 2002 MRTP Act 1969 was based on the pre-liberalisation and pre-globalisation phases. The Competition Act, 2002 is based on a modernised economy after liberalisation and globalisation. To prevent monopolistic markets and unjust practices.
Detailed explanation-4: -It should be noted that on the recommendations of Raghavan committee, the Monopolies and Restrictive Trade Practices Act, 1969 (MRTP Act) was repealed and replaced by the Competition Act, 2002.
Detailed explanation-5: -MRTP Act was enacted to deal with monopolistic, restrictive and unfair trade practices, but due to certain limitations, Competition Act was introduced, which changed the focus from curbing monopolies to promoting competition.