China and EU’s wisdom in choosing competition soft law or hard law in the digital era a perfect match

Abstract

The development of digital technologies has led to the emergence of new business models benefiting consumers in their searching, shopping and communicating activities. However, it also challenges the applicable competition law framework and enforcement. Although there seems to be a global consensus on the need to update competition law, the EU and China have chosen different regulatory tools—hard law and soft law, respectively—to address the new and complex challenges facing the competition governance of digital markets. This paper aims to explore why the EU opted for hard law while China opted for soft law, and to further examine whether the selected regulatory tool is the most appropriate in the specific context.