Ukraine is a market economy. It is competition, which means free rivalry among entrepreneurs to gain advantage over the rest through their own achievements, that creates a number of important conditions for a successful development of society. In economic terms, it is a prerequisite for an optimal distribution of limited social resources, their most efficient use by each individual producer, which is a prerequisite for progress in science and technology.
Ukrainian laws on the protection of economic competition introduce special legal mechanisms to prevent anticompetitive concerted actions of business owners and anticompetitive actions of government authorities and to avoid the monopolization of markets for goods. They are based on three types of control exercised by the Anti-Monopoly Committee of Ukraine:
• control of concerted actions of business entities intended to prevent an anticompetitive collusion of business owners;
• control of the concentration of business entities intended to prevent the emergence of monopolies in the market through mergers or acquisitions, the establishment of new enterprises, the acquisition of equity rights in or the acquisition of control by one entity over another or otherwise;
• control of anticompetitive actions of government authorities, local government, bodies of administrative and economic administration and control.
Thus, investors planning to concentrate business entities in Ukraine must first obtain authorization from the Anti-Monopoly Committee of Ukraine.