How do courts determine the line of commerce that will be affected by a merger?

How do courts determine the line of commerce that will be affected by a merger?


Courts usually apply functional interchangeability test. At first they determine the line of product or market service that will be affected by the merger. Under functional interchangeability test the relevant line of commerce includes substitutes; these are all products and services other than
the one in question that can fulfill the same need. If two products emerge to be substitutes they are then considered to be of the same line of commerce.

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