Monopoly (Business)

well technically a monopoly is just holding 25% percent of the market, so it would help if the market was smaller.

The robber barons utilized and manipulated the idea of trusts and decimated even the smallest competition, making their industry into a monopoly. This eventually led to the Sherman-Antitrust Act.

Jacob Riis is known for using his photographic and journalistic talents to help the impoverished in New York City. Ida Tarbell was one of the leading journalists of the progressive era. Margaret Sanger was an American birth control activist, sex educator, and nurse. She also opened up one of the first birth control clinics.

The company can then profit from their research without competition.

A monopoly is a company that owns all parts of a business and a trust is different companies that meet to reduce competition and form prices within the same range.

A monopoly exists when a company obtains complete market power. With total power over the product the monopoly provides, it can raise the prices of products as it pleases, forcing the consumer to pay more for the goods it provides as these goods are not available anywhere else.

This problem is avoided by government intervention, by which the government imposes a maximum or minimum price on the market, ultimately avoiding market failure.

When one business or company dominates its area and squeezes out all its competition, the result is the consumer does not have a free choice, and inevitably the price of it's products or services...

A monopoly is where a business is the only business in its product/service/brand market. This would give you an advantage because it not only makes the market less competitive but gives you NO competitors. The general pros are: You have more control over your price. Your research and development (R&D) costs can be lower since there will be no competitors driving you to constantly improve; this also includes you are not pressured by them to constantly meet their changes, so you have more control over the evolution of your product. You get 100% of the market, if people want the product or service they have to buy yours.

This is where the road splits depending on if your product or service is a necessity good or a luxury good. A necessity good is basically a good that people have to have no matter what or cannot live without. A luxury good is an item that is 'extra,' you can live without it, and when the times are tough you do, but when the times are good you buy more of it. If the product or service you are providing is necessity good, then being a monopoly can allow you to basically set any price on your product or service. Your product will be bough generally at an even rate through the good and bad times.


If your your product is a luxury good then you will have more pressure from the market to make product/service improvements, price improvements (up or down depending on the economy, branding, etc). Your sales will be influenced by both the economy and the wealth of your customers (as people's income increases they will buy more and more of the product). If times are good and you have a luxury product or service that is monopolized and wanted you are good but if times are bad you are in trouble.

In the end, even if you have a monopoly your product/service has to be wanted. I could have a business monopoly on picking other people's noses but since that is a unneeded and unwanted (hopefully someone else picking your nose is undesired), you will not make money or have a successful business.

1 - Since major blockade in money flowing channels: hence now the economy is worsening because giant cooperation's are not willing to invest.

2 - Businesses in general are motivated to production/profit generation which means more profit less costs. Especially when giant cooperation's use technology to reduce those cost such as labour etc. Tesco has recently installed the self-checkout service reducing labour costs and gearing the job creation to a reversed.

3 - When monopolies start to take place it becomes influential in that nation's economy where it can influence government decisions over its fiscal policies. such example took place in the UK with Barcleys Bank and Vodaphone where they were meant to pay huge sums of tax but avoided 75% (With Barcleys) in a threat to move its head office elsewhere.

4 - Some of the other dangers could be on societal issues where different people have different values and religious beliefs and clash in the culture of multi-national cooperation's. As the culture of multinational cooperation's is only to use productivity which does not come in line with different morals. such example is when a woman in Germany forced to take a job as a prostitute the government will cut her benefits (seach 'If you don't take a job as a prostitute, we can stop your benefits')

Oligopoly

Vertical integration is adding a process to your business, which follows your core business along the production chain.

The production chain are the steps that need to be taken in order to move from 'inputs' to 'sales'. Example for vertical integration:

Mobile phone providers like Vodafone added 'consumer sales' to their business, by opening stores.

Their core business is delevering the service, not retailing.

Yes a monopoly can lose money. If they are caught monopolizing in the US the courts will demand they break up the monopoly causing more companies to be made and more taxes to be brought forth, not including fines for having a monopoly.

Yes, it is more beneficial for the economy to have utilities as a monopoly, although they are considered as a 'natural' monopoly. Governments can nationalise the utility in order to maximise social welfare rather than maximise profit, this will keep prices low, keep output high and increase consumer surplus and consumer choice. Your welcome

One company controls a whole industry.

Andrew Carnegie was a buisnessman and the richest one that ever lived with comparrison to the economy at the time,

He went from an imigrant to head of the largest steal co in the world and hedid that by buying buying and buying every part of the steel industyr his rivals factories and every part of the industy including mines. He was a brilliant buisnessman and without monopoly he would never have reached what he had, eventually owning 90% of the industry its no wonder he suported it, and he was really a complicated man later in his life he laid out great emphasis on civil rights and industry regulations for workers yet the conditions in his steel mill were horrible (i.e. homestead) and he did all he could to maximize out put, though many saw him as a glorified man zesting up American economy he was a very harsh strict man who often acted cruely, that however was able to remain hidden and widely unseen being within the confines of his out mills, (yet later was greatly exposed). The fact that he suported monopoly a now heavily looked down upon institute was one he could not hide nor did he need to at the time major companies like naregie steel and rockefellers standard oil were simply unkown and the dangers of them had not yet been felt.

ruthless buisness practices of Standard Oil

A monopoly occurs when one company has total control in the production and distribution of a product or service.

when a competitor comes along and starts taking business away. Microsoft is a good example of a monopoly because their operating systems are used on about 90 per cent of the worlds computers. Another example is Google because is the world leader in internet search marketing and advertising, in the usa Google gets about 70 to 80 per cent of the search engine revenue, and in Australia it is even higher, Google gets about 90 per cent of the internet search engine revenue in Australia. Google's nearest competitor is Yahoo and then Microsoft's search engine bing I think. Sometimes governments will step in to break up a monopoly.

natural, geographic, technological, government

Monopolies are typically considered bad for consumers.

Eskom is a Monopoly because is the only Electricity Ernergy supplier in the country .It does not compete when it comes to supply of it thereof.It was like Telkom prior 1994 when Cell phones were absent.

The verb form of monopoly is monopolise (or monopolize in US English).
Other verbs are monopolises, monopolising and monopolised.

"I will monopolise everything I can".
"The entire city was monopolised".

1) Only one firm in the market (no competition).

2) Significant barriers to entry by other firms exist.

3) Lack of substitute goos for the monopolist's good.

4) Firm is a price-maker.

They produce at a different point than a competitive firm, a monopoly produces at a point where marginal revenue= marginal cost, where a competitive firm equates price to marginal cost.

The marginal cost curve is lower than the demand curve, but the monopoly charges the price at the demand curve, which is a higher price and a lower quantity than a competitive market would produce.