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Essay / Research Paper Abstract
This 3 page paper looks at oligopoly and other business concepts such as consolidation. Market concentration is discussed as well. Bibliography lists 3 sources.
Page Count:
3 pages (~225 words per page)
File: RT13_SA333bus.rtf
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Unformatted sample text from the term paper:
deal of the time. Ideally, people should have many choices. Just as the recent ousting attempt of Gray Daviss reign brought a significant array of candidates, ideally in a free
society, choice is key. Why not have one hundred toy manufacturers to choose from instead of just a handful? Of course, the ideal is not very practical. If every Joe
opened his own store, no one would know if the product was of good quality. Also, if someone has an outstanding product, it will sell with the right marketing plan
and make the inventor millions of dollars. One can begin to see the advantage of oligopoly or even the advantage of mergers and acquisitions. With a large company name behind
a product, people will buy it and be pleased with their purchases. Yet, in the every day life of the business owner, there are many decisions that have to be
made, one of which is to consolidate or not. There are many incentives for a firm to consolidate, inclusive of but not limited to the fact that a new
or unique market can be developed. With consolidation comes new opportunities and choice. Of course, every firm will have to make decisions on their specific situation. Generally, consolidation can save
money for many firms in a variety of industries. For example, Barnes (2002) explains: "While consolidation among liquor wholesalers does create a concentration of power, it also may provide some
benefit to suppliers in the areas of inventory, and delivery of products. These opportunities should be maximized in an effort to cut costs and expand reach wherever possible" (p.126).
Market concentration is also a part of the decison-making process. A high degree of market concentration may be considered a boon to consumers. At least, it does not completely
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