Mkt610 GDB solution
Tuesday, May 31, 2011 Posted In Mkt Edit This
What Does Monopoly Mean? A situation in which a single company or group owns all or nearly all of the market for a given type of product or service. By definition, monopoly is characterized by an absence of competition, which often results in high prices and inferior products.
WAPDA s Type and Example
As the definition describes, WAPDA is dealing with monopoly because the organization is sole responsible for controlling all other power generation companies. In normal market situations, government not only discourages but also restricts monopoly because it can cause harm to consumer s rights. But in this type of case, the existence of monopoly helps the government to benefit consumer because it is public sector organization andalways tries to protect consumers benefit.
WAPDA s Type and Example
As the definition describes, WAPDA is dealing with monopoly because the organization is sole responsible for controlling all other power generation companies. In normal market situations, government not only discourages but also restricts monopoly because it can cause harm to consumer s rights. But in this type of case, the existence of monopoly helps the government to benefit consumer because it is public sector organization andalways tries to protect consumers benefit.
