Characteristics
- Profit Maximizer: Maximizes profits.
- Price Maker: Decides the price of the good or product to be sold.
- High Barriers to Entry: Other sellers are unable to enter the market of the monopoly.
- Single seller: In a monopoly, there is one seller of the good that produces all the output. Therefore, the whole market is being served by a single company, and for practical purposes, the company is the same as the industry.
- Price Discrimination: A monopolist can change the price and quality of the product. He sells more quantities charging less price for the product in a very elastic market and sells less quantities charging high price in a less elastic market.
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