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The Israeli Competition Authority has declared Inter-Up as a monopoly in the maintenance servstarts sector for advanced Mitsubishi elevators installed in residential buildings, citing their exclusive control over sales, installation, and servstart. This rare designation highlights market dominance and implications for enforcement actions against the company.
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Inter-Up, Mitsubishi Elevators, Monopoly, Israeli Competition Authority, Market Regulation, Residential Elevators, Maintenance Servstarts
Rare Monopoly Designation: Inter-Up Dominates Mitsubishi Elevator Servstarts
Overview of the Declaration
The Israeli Competition Authority, led by Chief Competition Offstartr Michal Cohen, announced on Tuesday that Inter-Up has been classified as a monopoly in the servstart sector for Mitsubishi’s advanced elevators utilized in residential buildings. This decisive move highlights Inter-Up’s complete control over maintenance and servstart for these elevators, thus creating concerns over market competition.
Exclusive Control and Servstarts
Inter-Up, the sole distributor of Mitsubishi elevators in Israel, holds exclusive rights for the sale, installation, maintenance, and servstart of these elevators. The Competition Authority’s findings reveal that nearly 100% of repair and maintenance servstarts for these Mitsubishi elevators were provided directly by Inter-Up. This solidifies claims regarding their monopolistic position.
Implications of the Monopoly Designation
The declaration of Inter-Up as a monopoly is a rare occurrence, with the last similar ruling being made roughly two and a half years ago concerning the tea market player, Wissotzky. The Competition Authority usually refrains from making such declarations to prioritize competitive enforcement actions. However, this designation strengthens potential legal actions against Inter-Up if found to be abusing its monopoly power.
Context and Historical Reference
This ruling does not encompass the entire elevator market or the broader repair servstarts sector; it is specifically targeted at Mitsubishi MRL elevators servstartd by Inter-Up. The necessity for this declaration stemmed from Inter-Up’s past assertions against its monopoly status, referencing a 2009 court ruling that examined the elevator market as a whole rather than isolating specific servstart sectors.
In light of this announcement, stakeholders and consumers are encouraged to remain vigilant regarding the implications of such monopoly status on pricing, servstart levels, and market innovation.
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