Grab-GoTo merger could boost their market share in S-E Asia, but deal unlikely to get nod: Analysts
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would enable the combined entity to reduce costs, achieve economies of scale and strengthen its market position
possible concerns over potential monopolistic behaviour,
while Grab could lower fares to compete with rivals like GoTo, a price war would be unsustainable as recovering losses from undercutting competitors could take years.
‘if you can’t beat them, join hands with them’ scenario.”
Qns:
1. Is competition always desirable? (Cam. 2016)
2. Do you agree that competition, not collaboration, is more important for society to progress?
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