1. Monopolies & Their Competition
Because of this, a company or individual holding a patent can claim market power. ... Although price control plays a major part in market power, it does not mean that a company can set its price at whatever it chooses. ... Most monopolies, especially firms that provide a need for the consumer can be profitable such as SmithKlineBeecham has been with Paxil. Because Paxil is exclusive to its market, the manufacturer can set its own price for this product. ... In 1999, SmithKline sold 42,000 bottles of Paxil. ...
- Word Count: 567
- Approx Pages: 2