Define pure monopoly.
Understand the Problem
The question is asking for a definition of 'pure monopoly', which refers to a market structure where a single seller controls the entire supply of a product or service, facing no competition. This high-level overview outlines that a pure monopoly exists when one company or entity is the exclusive provider of a particular good or service.
Answer
A market structure where a single company sells a product which has no close substitutes and there are high barriers to entry.
The final answer is a market structure where a single company sells a product which has no close substitutes and there are high barriers to entry.
Answer for screen readers
The final answer is a market structure where a single company sells a product which has no close substitutes and there are high barriers to entry.
More Information
In a pure monopoly, the monopolist has significant market power and can influence prices significantly. Examples include utilities, where a single company may be the only provider in a region.
Tips
A common mistake is confusing a monopoly with an oligopoly, where only a few firms dominate the market.
Sources
- Pure Monopoly Overview, Characteristics & Examples - Lesson - study.com
- PURE MONOPOLY definition | Cambridge English Dictionary - dictionary.cambridge.org
- Monopoly - Wikipedia - en.wikipedia.org
