Final answer:
The entity described in the Transportation Code that operates vehicles for transporting people or cargo is referred to as a carrier or transport operator. In the case of a merger such as Greyhound and Trailways, the preferred market definition would be 'the market for intercity bus service' to minimize perceived market share.
Step-by-step explanation:
According to the Transportation Code, an individual, association, corporation, or other legal entity that controls, operates, or directs the operation of one or more vehicles that transport persons or cargo over a road or highway in this state is referred to as a carrier or transport operator. A corporation is a group of people authorized by law to act as a single entity, usually for the purpose of making money, which can include operating vehicles for transporting persons or cargo.
When considering a merger between two intercity bus companies, such as Greyhound Lines, Inc. and Trailways Transportation System, the companies would likely prefer the market definition to be 'the market for intercity bus service'. This is because a narrower definition focusing solely on bus services would underplay their market share and influence compared to a broader definition that includes other forms of intercity transportation, such as personal cars, car rentals, passenger trains, and commuter air flights. In a broader transportation market, these bus companies would be seen as having a much smaller piece of the market, potentially avoiding issues of creating a monopoly or reducing competitiveness that could raise concerns during merger negotiations.