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Monology Vs. Perfect Competition Essay, Research Paper

Part 1

In a ?Perfect Competition? there are many firms that sell a product. Most likely it is a single product that they sell, competing against each other. They allow people to come in and out of the market very easily.

In a ?Monopoly? there is a single seller, he decides who he wants to sell it to and at what price he wishes to sell it at. There is usually one unique product that they sell. Though there are lots of products out there, there are some that inventors are not willing to share.

For example, the Uplight, the Uplight is a light that runs on batteries. They are great for emergencies and blackouts. However, this new product is very useful and handy, but there is a patent on it. This means that no one else is allowed to come out with a different model of the Uplight. This is an example of a monopoly.

Part 2

I have created a product that can change the way we live. I have created the one and only ?House ? keeping Robot?. She can cook, clean, and almost everything else that anyone can dream of. She just needs to be programmed to do what she needs to do. I have chosen to run my invention through a monopoly. In my natural monopoly it will allow me to sell my robots at a lower cost. The price market for my robots is $55,000. I bought the robots at an arbitrage. The small business owner could not handle the cost and labor of the robots that he started, so I finished for him.

I now have the opportunity or choice to go into a perfect competition or stay with my monopoly. I have chosen to stay with my monopoly. I think that it would be best if I stayed with my monopoly, because that way I can keep it out on the market for a longer period of time. If I allowed other industries to come out with different models and product types, then the consumers would not know which company to go with. So I believe that for the best interest of the people and for my company that I stay in control of the market for the time being. Until I am absolutely sure that my robot will not die because of wrong decisions I will stay the way that I am right now.

It is okay sometimes to have competition, but in the long run a monopoly is the best way to go. For example, Microsoft and their software and the Uplight companies have perfect monopolies. Microsoft has gone through some hard times because of broken laws, but I believe that they are done treading water. In the end everyone knows that a monopoly is the way to go, but others believe otherwise.

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