Monopoly power is an example of market failure which occurs when one or more of the participants has the ability to influence the price or other outcomes in some general or specialized market. The most commonly discussed form of market power is that of a monopoly, but other forms such as monopsony, and more moderate versions of these two extremes, exist.
A well known example of monopolistic market power is Microsoft's market share in PC operating systems. The United States v. Microsoft case dealt with an allegation that Microsoft illegally exercised its market power by bundling its web browser with its operating system. In this respect, the notion of dominance and dominant position in EU Antitrust Law is a strictly related aspect.
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Famous quotes containing the words monopoly and/or power:
“Like many businessmen of genius he learned that free competition was wasteful, monopoly efficient. And so he simply set about achieving that efficient monopoly.”
—Mario Puzo (b. 1920)
“Anyone who is kind to man knows the fragmentariness of most men, and wants to arrange a society of power in which men fall naturally into a collective wholeness, since they cannot have an individual wholeness. In this collective wholeness they will be fulfilled. But if they make efforts at individual fulfilment, they must fail for they are by nature fragmentary.”
—D.H. (David Herbert)