What are the five dangers of a monopoly?

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1162047

2026-05-07 13:40

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1 - Since major blockade in money flowing channels: hence now the economy is worsening because giant cooperation's are not willing to invest.

2 - Businesses in general are motivated to production/profit generation which means more profit less costs. Especially when giant cooperation's use technology to reduce those cost such as labour etc. Tesco has recently installed the self-checkout service reducing labour costs and gearing the job creation to a reversed.

3 - When monopolies start to take place it becomes influential in that nation's economy where it can influence government decisions over its fiscal policies. such example took place in the UK with Barcleys Bank and Vodaphone where they were meant to pay huge sums of tax but avoided 75% (With Barcleys) in a threat to move its head office elsewhere.

4 - Some of the other dangers could be on societal issues where different people have different values and religious beliefs and clash in the culture of multi-national cooperation's. As the culture of multinational cooperation's is only to use productivity which does not come in line with different morals. such example is when a woman in Germany forced to take a job as a prostitute the government will cut her benefits (seach 'If you don't take a job as a prostitute, we can stop your benefits')

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