Question

When a company comes to dominate the market, this is referred to as ________?

1) dominan capitalism
2) monopoly capitalism
3) conglomerate capitalism
4) welfare capitalism

Answer 1

A company that dominates the market is known as a monopoly capitalism. It occurs when one firm controls nearly all of a market with no close substitutes, as seen with Microsoft's past dominance in operating systems.

Step-by-step explanation:

When a company comes to dominate the market, this is referred to as monopoly capitalism. A monopoly arises when a single firm controls all or nearly all of the supply of a good or service for which there are no close substitutes. Companies like this can control every aspect of the production cycle, from raw materials to final sales. Historical examples of monopolies, such as the once widespread power of Microsoft in the operating systems market, illustrate this concept's significance in the business world.