Geo-Blocking: Restricting Access to Online Services & Products - Essay Sample

Introduction

Geo-blocking is a discriminatory practice that is geared towards preventing online consumers from accessing or making purchases of services and products from an organization's website. The geo-blocking is enhanced through filtering and mapping the Internet Protocol (IP) addresses of the requesting devices. The use of the IP to filter another member state makes it cumbersome for consumers to obtain products and services from a company's website. The aim of geo-blocking is geared towards preventing cross-border transactions, a concept that limits access to online interfaces. However, the regulation of geo-blocking plays a vital role in exploring the global market due to the advancement in technology. The global market is becoming the most adopted concept by many businesses across Europe; hence the use of technology in driving the performance of a business has become paramount to business success. Thus, the essay will critically elucidate on the aims and the core objectives of geo-blocking regulation.

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Aim of Geo-Blocking Regulation

Geo-blocking served provided the traders or sellers of the products to make unjustifiable price fluctuation or unnecessary re-routing of cross-border consumers who visited their websites. The power to re-rout or overcharge online customers based on their location provided slow economic growth limiting the exploitation of the European market. However, the introduction of the burn in 2018, consumers are provided with a friendly and unified trading platform, where extra charges are not imposed based on their geolocation.

The adoption of geo-blocking regulation outlines the unjustified reasons why a trader should offer cross border customers the same access to services and goods as local customers. For instance, when a consumer in the cross-borders state makes the online purchase of an electronic camera, he or she is entitled to beneficial services offered by the company in delivering the product within the specified time. The aim is to provide consumers across the European Union with fair and competitive products to boost the development of the EU economy.

Discrimination against payment services is one of the common practices that limited the performance of many businesses, especially where cross-border services were involved. While many traders remain free to accept any form of electronic payment method, discrimination of payment services across the European Union made it cumbersome for consumers to obtain what they wanted. However, the regulation of geo-blocking provided an avenue for the adoption of numerous secure payment methods without imposing an extra fee on the cross-border transactions, hence increasing business performance and economic growth in the region.

The implementation of the geo-blocking regulation has provided brand extension and company growth across Europe. Payments are made directly from bank transfers and cross-based payment, which is conducted with the same brand and category. Through this, banks and other credit card services companies have widely extended their business performance across the borders, a concept that has not only provided an opportunity for the consumers but also for the companies involved.

Core Objective

The primary objective of adopting geo-blocking regulation is to help protect consumers from exploitation and bad experience in making cross-border purchases. Different states under the European Union have distinctive regulations governing them in terms of business. However, none of the regulations permits the exploitation of consumers based on their geolocation. Never the less, the geo-blocking proved to be one of the effective means of discriminating and paralyzing business performance.

The adoption of geo-blocking regulation provided consumers with equal trading opportunities as local consumers. Both traders, local and across the border, are governed from unfair competition, and price fluctuation, as the regulation aims at bringing equal trading opportunities to both sides.

Consumers are the most vulnerable assets when it comes to online shopping. Price fluctuation and service adjustment based on the location of the consumer are among the significant areas where they can be targeted and easily exploited by many traders. As a result, this increases the potential possibilities of consumers having to buy locally than doing cross-border shopping. Moreover, consumers are insulated from obtaining essential products due to the difficult and imposed charges. The implementation of the regulation provides an avenue to eliminate and provide the consumer with an opportunity to access and shop as per one's ability.

Importance

The age of technology has played a vital role when it comes to the global market. Technology is fueling major global giants across the world. The European Union heavily depends on the use of technology in conducting business, which has been paralyzed by the geo-blocking. Increased charged during cross-border transactions and purchases proved to be expensive for many consumers. Through this, most of the consumer opted to make local purchases. However, the regulation has offered numerous economic benefits across the European Union states. Among one of the benefits enjoyed is the overall economic growth in the region due to the involvement of third-party companies, such as banks, and currier services, which create employment. Consumers are attracted to make purchases from different traders, a concept that has diversified business growth. The implementation of the geo-blocking regulation has increased Digital Single Market. The DSM has increased the grip of Europe as the world leader in the digital economy, helping it maintain its position as the world leader in the digital economy. More so, this has helped increase European companies to grow globally.

Bibliography

Delfino, Rossella. "European Union Legislation and Actions." European Review of Contract Law 15, no. 1 (2019): 53-57.doi.org/10.1515/ercl-2019-0003

Samardzic, Darko, and Tobias Fischer. "European Integration from a Single to a Digital Single Market." ZEuS Zeitschrift fur Europarechtliche Studien 21, no. 3 (2018): 329-350.doi.org/10.5771/1435-439X-2018-3-329

Vesala, Juha. "Achieving a Digital Single Market for online distribution of content: when would extending the Geo-blocking Regulation be justified?." In Online Distribution of Content in the EU. Edward Elgar Publishing, 2019.doi.org/10.4337/9781788119900

Vesala, Juha. "Regulation complementing EU competition law in the digital economy." In Competition Law for the Digital Economy. Edward Elgar Publishing, 2019.doi.org/10.4337/9781788971836