Tuesday, September 24, 2019
The microsoft case Assignment Example | Topics and Well Written Essays - 500 words
The microsoft case - Assignment Example onopolizing, attempts for monopolization, conspiring or combining with other people with the motive to monopolize part of aà tradeà among several States. However, Microsoft was aiming at gaining the monopoly power in the PC market (Economides, 2001). Yes,à I do agree that Microsoft was trying to gain monopoly power in the computer software industry.à Microsoftà mismanaged the opportunity of being the leading market holder in the computer industry, which led to antitrust behavior investigations. The Company had managed toà attainà 95% market share through antitrust behaviors (Brinkley & Lohr, 2000). The reports led to theà investigationà for determining whether Microsoft is aiming at establishing a monopoly in the market of the computer software. There have been numerous facts proving that Microsoft was makingà effortsà monopolizeà theà industryà of software. The creation of Microsoft Office as a package that comprises of packages that areà entirelyà assisting theà professionalà was a deliberate move to monopolize the market. Microsoftà was also suedà due to developing an operating system that had Windows Media Player; thus, engaging the real media player in unfair competition (Brinkley & Lohr, 2000). In Monopoly markets, Companies have marketà power in given segments thatà involveà theà productionà of commodities. The Monopolies are also the price makers of the products produced. In the case where Government Monopolyà is involved, the government controls accessibility to production. The Government monopoly relates to a monopoly of government cooperation or an agency. However, there are Pros and cons to the natural monopoly. The natural monopoly results due to businesses that require a high start up costs in order to operate in a given business. To the company, monopoly ensures that unnecessary competition is avoided; this results to increased marginal revenue andà strong brand name (Tucker, 2010). Monopoly ensures that an organization enjoys economies of scale
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