Question

Give examples of few products which can be categorized under monopolistic and monopoly market.

Answer 1

Answer:

A monopoly exists when only one company can supply an essential product or service in a given region because of significant barriers to entry for any competitor. The barriers can be legal or regulatory, economic, or geographic.

In the absence of competitors, a monopoly company can raise its prices, restrict its production, or safely ignore customer service concerns.

Nevertheless, they are seen as necessary for the provision of certain critical services. In the U.S., these include public utilities and television broadcast rights. Monopoly privileges generally come with increased regulatory scrutiny.