When a merger increases concentration, a defense that shows that the firms' customers are sophisticated, large buyers that will not be taken advantage of by a bigger merged firm is:

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The power-buyer defense argues that the firms' customers are sophisticated, large buyers who have substantial bargaining power with the merged firm and will not be taken advantage of. This defense acknowledges that the merger will increase concentration, but argues that it does not pose an antitrust concern because the merged firm will not have the ability to raise prices or reduce output due to the countervailing bargaining power of the buyers.

When a Merger Increases Concentration, a Defense That Shows That