Arrow Taxi Services Limited proposed to acquire Embassy Taxis.

Summary

Arrow Taxi Services Limited proposed to acquire Embassy Taxis.

Market definition

The ACCC considered the most relevant markets to be:
* the provision of taxi depot services to taxi operators in the Melbourne metropolitan area;
* the provision of booking and dispatch services to taxi operators and depots in the Melbourne metropolitan area; and
* the provision of taxi services to the public in the Melbourne metropolitan area.
The ACCC did not consider it necessary to reach a conclusive view in relation to precise market definitions.

Competition analysis

Arrow and Embassy both provide taxi depot services in Melbourne. Following inquiries with market participants the ACCC decided not to oppose the proposed acquisition. The ACCC found that both Arrow and Embassy have low market shares and considered that existing players in the market would act as a competitive constraint on Arrow.

Merger type

Horizontal

Initiation

Parties