According to the LC and the Explanations on Definition of Dominant Position, an undertaking is considered to have a dominant position in the relevant market if it:
does not face direct competition; or
has a decisive influence in the relevant market by being able to unilaterally restrict competition.
An undertaking with a market share of not less than 40 per cent will be presumed to have a dominant position in the relevant market. Each of a group of three or fewer undertakings with the largest shares of the relevant market, jointly holding 70 per cent or more of the relevant market, will be presumed to enjoy a dominant position.
In accordance with the Explanations on Definition of Dominant Position, an undertaking is considered not to be facing direct competition when it is the only player in the market. According to the Explanations, a unilateral decisive influence means a possibility to act in a relevant market with sufficient independence from competitors, purchasers or suppliers and consumers by influencing prices, opportunities to enter the market, etc, when such powers of an undertaking result in the effective restriction of competition in the market.
The CC, to define a dominant position, has the right to examine any relevant factors (for example, market share, barriers to enter the market and the financial situation of an undertaking). Such factors are determined on an ad hoc basis and are subject to the economic sector and characteristics of goods. The CC first defines the market share, but the market share is not the sole and unchallengeable factor, as even a small market share may allow an undertaking to exercise a unilateral decisive influence.