CONSUMER PROTECTION AS A GEOPOLITICAL TOOL

THE EUROPEAN UNION’S POWER EXERCISED THROUGH LAW IN DIGITAL MARKETS

Abstract

The spread of disruptive technologies has fundamentally transformed B2C relationships, creating new opportunities as well as new forms of vulnerability. Digital platforms, algorithms and data-driven services have reshaped market dynamics and generated new power relations affecting states, businesses and individuals. In this context, the European Union occupies a distinctive position due to its economic weight and regulatory capacity, which increasingly exert global influence. This study examines how the European Union indirectly shapes technological development and global business models through law, with consumer protection, particularly in digital and financial markets, serving as a key instrument of geopolitical significance. It argues that EU regulatory frameworks, including the GDPR, DSA, DMA, DORA, the AI Act and PSD3/ PSR, not only structure the internal market but also compel global service providers to adapt, thereby producing effects beyond the Union’s borders. The analysis demonstrates that digital consumer protection extends beyond its classical function of individual rights protection. By addressing risks arising from algorithmic systems, data-driven influence and manipulative practices, it contributes to shaping market structures and establishing a distinctive European regulatory model. At the same time, in digital financial markets, consumer protection performs a stabilising function: by maintaining trust in financial systems, it supports the resilience and global position of the European Union. Methodologically, the study is based on doctrinal legal analysis combined with an interdisciplinary approach. It examines key EU legal instruments in consumer protection, digital regulation and financial law, and evaluates their cross-border and international effects. The paper concludes that the geopolitical significance of EU digital consumer protection lies not in its explicit objectives, but in its indirect effects: through ensuring a high level of consumer protection and internal market functioning, it contributes to shaping global market practices and strengthening the European Union’s regulatory influence.