The KFTC also concluded that even if efficiencies claimed by the appellant
had been generated, the proposed merger would have created a de facto
monopoly in a given market and its benefits would have been highly likely to
be enjoyed by the respondent instead of encouraging competition and
improving consumer welfare.
Moreover, the KFTC pointed out that in order for efficiency claims to be
recognized in pursuant to Article 7 Paragraph 2 of the MRFTA, the appellant
had to prove that efficiencies generated through merger would be greater than
its anticompetitive effects. However, the appellant only focused on making the
efficiency argument and failed to prove the adverse effects on competition