4.20 Individuals functional symptoms can assist within the deciding if geographical parts are believed to-be replacements, together with sorts of qualities of one’s equipment, modifying costs, transport can cost you, rates relationship and you will relative price levels, delivery patterns and you will international battle.
cuatro.21 Several speed and you will low?rate affairs can affect buyers’ ability otherwise determination to take on faraway choice. Non?price affairs include the fragility or perishability of one’s related product, comfort, volume from beginning, plus the reliability from service otherwise beginning.
cuatro.twenty-two Just as in unit markets definition, higher modifying will cost you could possibly get dissuade people out-of replacing ranging from geographical components. At exactly the same time, transportation will cost you enjoy a central role in the defining the fresh new geographical extent off related ple, when the price of the relevant tool in a distant urban area and the price of transporting they to help you a candidate geographical industry is higher than the purchase price regarding candidate field in addition to an excellent SSNIP , the appropriate sector cannot basically range from the situations off sellers found in the faraway town. Footnote 23
4.23 Research that rates for the a distant area has typically possibly surpassed otherwise been lower than cost on the candidate geographical industry by the over the transportation will cost you may indicate that a couple of elements have been in independent related places, getting factors that go past transportation costs. Footnote 24 Yet not, prior to reaching this completion, this new Bureau decides if or not a beneficial SSNIP on candidate geographical sector will get change the prices differential concise one distant manufacturers could possibly constrain an effective SSNIP .
4.twenty four Extreme shipment of your own relevant product regarding a faraway city on the a place where a price boost is being postulated may suggest your distant area is within the associated geographic ent designs do not, by themselves, introduce the new constraining effectation of distant vendors and might be insufficient in order to validate expanding the geographical sector.
Foreign race
4.twenty-five Buyers’ readiness or capability to move to foreign providers will get become affected by buyers’ needs and choices, and also by border?related considerations. Buyers tends to be faster ready otherwise in a position to switch to overseas alternatives when facing products including exchange rate chance, local certification and you will unit approval laws and regulations, industry?enforced conditions, or initiatives in order to “pick regional” as a consequence of 
cuatro.26 When it is obvious the conversion part of the combining functions and this out of international providers each other fall-in regarding the relevant business (once the adequate customers might possibly be ready to address an excellent SSNIP by turning to the providers), this new borders of one’s business try extended past Canada to include the fresh places away from overseas vendors. Footnote twenty-five
Delineating geographical borders
4.twenty seven This new geographic places off customers and you will sellers is relevant to delineating borders, particularly when avenues is regional or regional in general. The root assumption would be the fact money?promoting organizations make decisions from the the best place to to get according to the thickness of their consumer legs and try to avoid cannibalizing their very own sales when they’ve 2 or more metropolises inside the romantic distance. Such as this, demand responses continue to be secret determinants regarding markets boundaries. The Bureau are able to use spatial race studies to assist delineate the latest boundaries off localized geographical segments. Footnote 26 The fresh new methodology getting using spatial battle investigation relies on the features of your business together with field involved.