monopoly



Themeaningofmonopoly

Thetermmonopoly(monopoly)originatedfrom"Mencius","itmustbemonopolized,andtheInternetwillbeprofitablebylookingatleftandright."

Originallyreferringtomanipulatingtradestandingonthehighgroundofthemarket,latergenerallyreferringtocontrolandmonopoly.

Chinahasalwayscalledmonopoly"questionable".InancientChina,salt,iron,andteabelongedtogovernment-runmonopoliesforalongtime.Becauseofhugeprofits,oncethecountryexperiencedafinancialcrisis,itwouldinevitablyimplementabanningsysteminordertosupplementthecountry’sinsufficientconsumption.

Inthecapitalisteconomy,monopolyreferstoasmallnumberoflargecapitalistenterprisesthatmanipulateandcontroltheproduction,salesandpricesofoneorseveralsectorsofgoodsthroughmutualagreementsoralliancesinordertoobtainhighprofits..

Combinedwiththeprovisionsofmycountry's"Anti-MonopolyLaw",monopolisticbehaviorreferstothebehaviorthatexcludesorrestrictscompetitionandmayexcludeorrestrictcompetition.

Amonopolyindustryisasituationwherethereisonlyoneorveryfewmanufacturersinanindustryormarket.Themonopolymarketreferstoamarketorganizationwithonlyoneoraverysmallnumberofmanufacturersintheentireindustry.

Thepoliticaleconomybookreferstoasmallnumberofcapitalistenterprisesthatrelyonthehugeamountofcapitaltheycontrol,sufficientproductionandoperationscaleandmarketshare,throughagreements,alliances,alliances,equityparticipationandothermethodstomanipulateandcontroloneormoreCommodityproductionorcirculationineachdepartmentinordertoobtainhighprofits.

Reasons

Itisgenerallybelievedthatthebasicreasonformonopolyisbarrierstoentry.Thatistosay,monopolisticfirmscanmaintainthesolesellerstatusintheirmarketbecauseotherfirmscannotEnterthemarketandcompetewithit.

Monopolyreferstoacombinationofasmallnumberofbigcapitalistsinordertojointlycontroltheproduction,salesandbusinessactivitiesofoneorseveraldepartmentsinordertoobtainhighmonopolyprofits.Itisthedeepesteconomicfoundationofimperialismandtheeconomicessenceofimperialism.

Monopolygrewupfromthefreecompetitionofgovernmentprotectionism.Inthedevelopmentstageofcapitalismcharacterizedbyfreecompetition,inordertocapturemoresurplusvalue,capitalistenterpriseswillinevitablyadoptadvancedproductiontechnologyandscientificmanagementmethods,implementproductionspecializationandcollaboration,andincreaselaborproductivity;Infiercecompetition,largeenterprisesoftenrelyontheireconomicadvantagestocontinuouslycrowdoutandannexsmallandmedium-sizedenterprises,sothattheproductionofmeansofproduction,labor,andlaborproductsareincreasinglyconcentratedintheirownhands.Atthesametime,thedevelopmentofthecapitalistcreditsystemandthestockcompanybrokethroughthelimitationsofindividualcapital,acceleratedthedevelopmentofcapitalconcentration,andthuspromotedthedevelopmentofproductionconcentration.Theconcentrationofproductionandcapitaltoacertainextentmeansthatthenumberofenterprisesisreduced.Mostoftheproductionofadepartmentisconcentratedinthehandsofseveralordozensoflargeenterprises.Itiseasierforthemtoreachanagreementtojointlycontroltheproductionofthedepartment.Andsales,thusmakingitpossibletogeneratemonopoly;duetotheexistenceofafewlargeenterprises,smallandmedium-sizedenterprisesareinadominantposition.Compromiseandreachacertainagreement,whichmakesthecreationofmonopolynecessary.Freecompetitionleadstotheconcentrationofproduction,andthedevelopmentofconcentrationofproductiontoacertainextentwillinevitablyleadtomonopoly,whichisthegeneralandbasiclawforthedevelopmentofcapitalismoffreecompetitiontothestageofmonopolycapitalism.Attheendofthe19thcenturyandthebeginningofthe20thcentury,monopolyhasbecomethefoundationofallcapitalisteconomiclife.

Inthedevelopmentofthecapitalisteconomy,freecompetitionleadstoproductionconcentration,andthedevelopmentofproductionconcentrationtoacertainstagewillinevitablyleadtomonopoly.Whenmonopolyreplacedfreecompetitionandoccupiedadominantpositionineconomiclife,capitalismdevelopedtothestageofimperialism,thatis,monopolycapitalism.

Therearethreemainreasonsfortheformationofmonopoly:

Naturalmonopoly:Thecostofproductionmakesoneproducermoreefficientthanalargenumberofproducers.Thisisthemostcommonformofmonopoly.

Resourcemonopoly:Keyresourcesareownedbyonecompany(suchasthedubbingindustryofwirelessTV).

Administrativemonopoly:Thegovernmentgivesanenterprisetheexclusiverighttoproduceacertainproductorservice.

Thereisalsoamonopolybythegovernment,whichiscalledmonopoly.

Monopolyorganization

Cartel

Cartelisacombinationofcompaniesthatproducesimilarproducts.Ontheonehand,theenterprisesparticipatinginthecartelsignedagreementsonprice,salesmarket,productionscaleandotheraspectsinordertoobtainmonopolyprofits;ontheotherhand,theymaintainedtheirindependenceineconomicactivities.Therearegenerallythreetypesofcartels:oneisthecartelthatregulatesthescopeofthesalesmarket;theotheristhecartelthatregulatesthesalesprice;thethirdistheproductionquotaforvariouscommoditiesproducedbyenterprisesparticipatinginthecartel.Withtheemergenceanddevelopmentofmultinationalcompanies,internationalcartelshavebeenestablishedamonglargemonopolyorganizationsincapitalistcountries,andtheirinfluenceandscalearemuchgreaterthandomesticcartels.

Syndicate

Syndicateisabusinessallianceformedbysigningacommonsupplyandmarketingagreement.Thecompaniesparticipatinginthesyndicatecoordinatepricesbysigningagreementstojointlysellgoodsandpurchaserawmaterials,therebyobtainingmonopolyprofits.Allcompaniesparticipatinginthesyndicate,theirmerchandisesalesandrawmaterialsupplyareoperatedbythesyndicate.AlthoughthecompaniesparticipatingintheSyndicateAlliancehavenocommercialindependence,theindependenceofproductionstillremains.Fromalegalpointofview,theenterprisejoiningthesyndicateisstillanindependenteconomicorganization.

Trust

Trust(trust)isajoint-stockcompanyformedbyacombinationofenterprisesthatproducesimilarproductsorrelatedproducts.Theenterpriseparticipatinginthetrustisnolongeralegalperson,andtheoriginalenterpriseismanagedbythetrustintheunifiedmanagementofproduction,supply,sales,people,finances,andmaterials,andtheoriginalenterpriseownerbecomesashareholderofthetrust,basedontheprofitoftheshares.Trustsoccupiesadominantpositioninmanymajorindustrialsectorsindevelopedcapitalistcountries,andtheyhaveagreatimpactonsociallife.In1882,MobilOilCompanybecamethefirsttrustorganizationintheUnitedStates.Atthebeginningofthe20thcentury,trustsdevelopedrapidlyintheUnitedStatesandplayedadominantroleinmajorindustrialsectors.Therefore,theUnitedStateswasonceconsideredatypicaltrustcountry.

Konzern

Konzern(konzern)isamonopolyorganizationcomposedofenterprisesindifferenteconomicsectorssuchasindustry,commerce,transportation,finance,andinsurance.AlthoughthecompaniesparticipatinginKonzernmaintaintheirindependenceinform,theyareactuallycontrolledbybanksorlargeenterpriseswithstrongcapital.Konzernusuallyconsistsofaparentcompanyandseveralsubsidiaries.Theparentandsubsidiarycompaniescontrolmanyothersmallandmedium-sizedenterprisesbymeansofholdingandequityparticipation,thusformingalarge-scaleKonzernGroup.Konzernisorganizedwiththemostpowerfulindustrialmonopolyorganizationsandlargebanksasthecore.Itsriseanddevelopmentreflecttheprocessofcombiningfinancialcapitalandindustrialcapital.

TypesofMonopoly

FranchiseMonopoly

Someexclusivebusinessprivilegesarestipulatedbythelawandprotectedbylaw.Patentrightsandcopyrightsarelicensedbylawmonopoly.Toencouragecreationandinvention,mostcountrieshaveenactedpatentlaws,whichshowsthatpatentmonopolyiscausedbylegalbarriers.Onsomeoccasions,thegovernmentgrantsamanufacturertheexclusiverighttooperate;sometimesthegovernmentgrantstheexclusiverighttooperatethroughacontractthroughbiddingandcompetition.

Naturalmonopoly

Ifaproductrequiresalotofinvestmentinfixedequipment,andmassproductioncangreatlyreducethecost,thenalargemanufacturermaybecometheonlyproducerintheindustry.Theaveragecostisthelowestwhenalargemanufacturersuppliesallmarketdemands,anditisdifficultfortwoormoremanufacturerstooperateinthemarkettoobtainprofits.Inthiscase,themanufacturerformsanaturalmonopoly.

StrategicMonopoly

Ifnooneotherthanthemonopolisthasacertainproductiontechnologyorknow-how,themarketwillnaturallyformatechnologicalmonopoly.Withneithertechnicalbarriersnorlegalbarriers,manufacturersestablishorconsolidatetheirmonopolypositionbybuildinghighbarriers,whichisastrategicmonopoly.

Othermonopolybarriers

Theabovebarriersdonotlistallthefactors,andtheyarenotnecessarilymutuallyexclusive.Forexample,themanufacturercontrolsthesupplyofacertainrawmaterial.Anybarrierthatpreventscompetitorsfromenteringthemarketisthecauseofmonopoly.

AnalysisofMonopoly

MonopolisticCompetitionRelations

Themonopolythathasgrownfromfreecompetitiondoesnoteliminatecompetition,butissuperiortofreecompetition.coexist.Undermonopolyrule,notonlyfreecompetitionstillexistswithinacertainrange,thatis,amongnon-monopolyenterprises,butmonopolyitselfwillinevitablyproducenewandmoreintensecompetition.Therearesharpandcomplicatedcompetitionsbetweenmonopolyorganizations,amongtheparticipantswithinmonopolyorganizations,andbetweenmonopolyorganizationsandnon-monopolyenterprises.Withinamonopolyorganization,capitalistsparticipatingincartelsandsyndicatesmustcompeteforafavorablesalesmarketandoccupyalargershareofproductionandsales,whichwillinevitablyleadtocompetition;capitalistsparticipatingintrustsandKonzernalsohavetofightfiercelyinordertocompeteforcontrolofthemonopolyorganization.compete.Thereisalsofiercecompetitionamongvariousmonopolisticorganizationsinordertoconsolidatetheireconomicpositionsandcompeteforsalesmarkets,rawmaterialssourcesandinvestmentplaces.Atthesametime,monopolisticorganizationsalwayswanttocontrol,exclude,andstifleout-of-officecompanies.Out-of-officecompanieshavetofightagainstmonopolyorganizationsfortheirownsurvival.Ofcourse,theystillhavearelationshipoffreecompetitionwitheachother.Monopolyorganizationscanonlymaintainandstrengthentheirpositioniftheycontinuetoinvestincompetitionandwin.Conversely,competitioncontinuestoproducenewmonopolyorganizations,strengtheningthepowerofmonopolycapitalandexpandingthescopeofmonopolyrule.Monopolyandvarioustypesofcompetitionco-exist,resultinginmanyparticularlysharpandseverecontradictions,frictionsandconflicts,whichfurtherintensifytheinherentcontradictionsofcapitalism.

Thedevelopmentofmonopoly

Monopolyitselfisconstantlydevelopinginallaspects.Fromtheperspectiveofthescopeofmonopolyrule,intheearly20thcentury,monopolyorganizationsmainlyexistedinheavyindustrialsectorssuchascoal,steel,andpetroleum.Today,thescopeofmonopolyrulehasexpandedtolightindustry,transportation,commerce,agriculture,andvariousserviceindustries.Andotherfields.Fromtheperspectiveofthedegreeofmonopoly,thescaleofmonopolycompaniescontinuestoexpand,theproportionoftheproductionofthefewlargestmonopolycompaniesinsocialproductioncontinuestoincrease,andaseriesofimportantindustrialsectorsareincreasinglycontrolledbyafeworevenoneofthelargestmonopolies.Fromtheperspectiveofmonopolyrule,becausemonopolisticenterprisesadoptdiversifiedoperationmethods,especiallyafterWorldWarII,theyhaveadoptedmixeddiversificationmorewidely,thatis,unitingmanyindustriesthatarenotrelatedtoeachother.Themodeofoperationhasturnedmoreandmorelargemonopoliesintohybridconglomerates.Thishasfurtherexpandedthescopeofdirectcontrolandinfluenceofafewlargemonopolycompaniesandstrengthenedtheirdominantpositioninsocialandeconomiclife.Afterthewar,multinationalcorporationshaveincreasinglybecomethemainformofinternationalmonopoly,anditisalsoanewdevelopmentintheformofinternationaldominationofmonopolycapital.Thedevelopmentofmonopolywillfurtherdeepenthebasiccontradictionsofcapitalismevenifcapitalistproductionmovestowardsfullsocialization,whichpreparesthematerialconditionsandprovidesapowerfulimpetusforthetransitionfromcapitalismtoahighersocialistsystem.Picture

Theharmofmonopoly

Monopolyandcompetitionareinherentlycontradictory.Duetothelackofcompetitivepressureanddevelopmentmotivation,coupledwiththelackofapowerfulexternalcontrolandsupervisionmechanism,monopolyindustryservicesThequalityisoftenunsatisfactory,anditoftenviolatesmarketrulesandinfringesconsumers'righttofairtradeandchoice.Thisisarule,Chinaandforeigncountriesarethesame.

Pricemonopolydrivesupthecostoftheentiresociety.Monopolisticindustriesaregenerallyengagedinpublicutilitiescloselyrelatedtothevastmajorityofpeopleandindustries,suchastelecommunications,post,water,electricity,gas,railways,andaviation.andmanymore.Becausetheseindustriespenetrateallaspectsofsociety,thelevelofservicepricesintheseindustriesisrelatedtothecostoftheentiresociety.Theoverallefficiencyoftheseindustriesisdirectlyrelatedtotheabilityofotherindustriestoparticipateininternationalcompetition.

Intheplannedeconomyera,telecommunications,railways,andotherdepartmentsusedtobelongtothenationaladministrativedepartment,butwhenthesedepartmentsenteredthemarket,theystillhadamonopolyposition.Oncetheybegantopursueprofitsinthemarket,theywouldadoptmonopolypricing.Transfertheinterestsofalargenumberofconsumerstothehands,sothatprivilegeddepartmentsandprivilegedcompaniescangetprofitsfarhigherthancompetitivemarketprices.Asaresult,thecostofcompetitionfortheentiresocietyhasbeenincreased.

Industrymonopolyleadstoinsufficienteffectiveinvestment

Accordingtoindustryinsiders,therearecurrentlydozensofapprovedprivatecouriercompaniesinBeijing,ShanghaiandShenzhen.However,thenumberofunderground"blackmarket"expresscompaniesismorethan1,000.Althoughinaccordancewiththeprovisionsofthe“PostalLaw”ofthecountry,thedeliveryoflettersandotheritemswiththenatureoflettersisexclusivelyoperatedbystate-ownedpostalenterprises,manyexpresscompaniesarealsoparticipatinginthisserviceinvariousforms.Accordingtostatistics,thelowestEMSfeeis23.3Yuan,andtheminimumfeeforaprivatecouriercompanyisonlyabout10Yuan.Excessprofitswillinevitablyattractfunds,evenifthecompany’sidentityisnotlegal.Accordingtostatistics,since1995,theannualgrowthrateofEMSturnoverhasalsobeen2%,butitsmarketsharehasbeendecliningatarateof4%peryear.Duringthesameperiod,theturnovergrowthofthefourmajorinternationalexpressgiantsinChinahasremainedabove20%.AlthoughEMSisstillthe"bigbrother"inthedomesticexpressdeliverymarket,itsmarketsharehasdroppedfromnearly97%atitspeaktothecurrent40%.

Thisphenomenoniscommoninmonopolisticindustries.Ontheonehand,monopolisticenterprisescanobtainexcessprofitsthroughmonopoly,whichhinderstheimprovementofefficiencyandhinderstheirenthusiasmtoexpandbusinessscale.Inaddition,industrymonopoliesareusedtopreventsocialfundsfromenteringtheindustry.Althoughtherearealwaysfundstolureprofitsinto"violatingregulations"toentertheindustry,thescaleisalwayslimited.

Insufficientinvestment,decliningemployment,andrelativelyweakconsumptionarethemainproblemsinmycountry'seconomicoperation.SomeexpertspointedoutthattherearemanyreasonsforthecurrentlackofinvestmentinChina,butoneofthemisthatmanyhigh-profitindustriesaremonopolisticindustriesthatareforbiddenbythemarket.Intheseindustries,monopolyleadstoinefficiency,andthispartoftheprofitcannotbereflected.Therealprofitsituationhasbecomeagreatwaste,andithasalsogreatlydampenedtheinvestmententhusiasmofcapital,whichhascausedtheso-called"capitalstrike"andstrengthenedthedownturnintheinvestmentmarket.

Administrativemonopolybreedscorruptiontumors

Inthecurrentlargenumberofmonopolisticactivitiesinthedomesticmarket,administrativemonopolyundoubtedlyoccupiestheprimaryposition.Thebehaviorofrestrictingcompetitionimplementedbythegovernmentanditssubordinatedepartmentsabusingadministrativepoweriscalled"administrativemonopoly."Duetotheinterventionofadministrativepower,administrativemonopolyismoreharmfultofairmarketcompetitionthannaturalmonopolyandindustrymonopoly.Inparticular,asmallnumberofcorruptelementstakeadvantageofthepowerofpublicaffairsmanagement.Onlyby"givingmoney"cantheydothings.Thisnotonlyaffectseconomicdevelopment,butmoreimportantly,itdamagesthegovernment’scredibilityandbreaksthetrustoftheoperators.

Theresearchresultsofdomesticresearchinstitutionsshowthatoneofthemostimportantmanifestationsofcorruptionatpresentisthelossofalargeamountofrents(here,"rents"intheeconomicsense)causedbymonopoly.Forexample,theelectricpowerindustry,oneofChina’slargestmonopolyindustries,accordingtotheirestimates,causesannualrentallossesofbetween56billionyuanand112billionyuan,whilethemonopoly"rents"ofcivilaviationisasmuchas7.5billionyuanto100billionyuaneachyear.100millionyuan.Monopolytransfersconsumerbenefitstomonopolyproducers,creatingexcessprofitsandcausingsocialwelfarelosses.Itisestimatedthatsuchlossescanreach130billionyuanto2020billionyuanperyear.

Countermeasures

Establishbasicantitrustprinciples

(1)Maintaintheprincipleoffaircompetition.Thestateshouldformulatecorrespondingindustrialdevelopmentpoliciesinallproductionandservicefieldsexceptmilitaryandnationalsecurityandotherstrategicareasthatareimportanttothenationaleconomyandpeople’slivelihood,andcomprehensivelyintroduceafaircompetitionmechanismtoeliminateadministrativemonopolyfromcompetitionandmanagetheoverallsociety,Technology,qualityandefficiencyhavebeencomprehensivelyimprovedbasedonfaircompetition,andthehealthy,sustainedandrapiddevelopmentofthesocialistmarketeconomycanalsobesupportedbyagoodsystem.

(2)Payattentiontopertinenceandgradualism.Formulatelawsandregulationsthatrestrictandfacilitatesupervisionofvariousbusinessactivitiessuchasindustryanddepartmentoperatingsystemsanddecision-making,procurement,services,pricing,andinternaldistribution;resolvenon-riskandnon-payingenterprisesarisingfrommonopolyprivilegesthroughtaxationIncomeandpersonalincome;setupahighlyauthoritativeandindependentanti-monopolylawenforcementagencytoberesponsiblefordeterminingtheinvestigationandhandlingofillegalmonopolybehaviorsbasedonthephenomenareflectedbyauthoritativesocialopinionsurveyagenciesandnewsmedia;Thehotspotsanddifficultiesrelatedtomonopolyreflectedbythemassesshallbesubjecttosocialsupervision.Amongthem,standardizedbehavioristhefocus,organizationalconstructionisthekey,gradualprogressisthestrategy,andfairsupervisionistheway.

Improvethelegalsystem

ImprovetheAnti-MonopolyLaw,completelawstoencouragecompetition,andestablishafairmarketcompetitionmechanism.

Removetheadministrativemonopolyleftbythetraditionalsystem

Itisnecessarytocloselyintegratethereformofthecentralandlocalgovernmentinstitutions,thetransformationoffunctions,andtheprogressofanti-corruption.Asanimportantadjustmentobjectoflegislation,relevantanti-monopolylawsandregulationswillbepromulgatedassoonaspossible;China’seconomicgrowth,economicactivities,technologicalprogressandcompetitivenesswillbeeffectivelyguaranteedinaccordancewiththelaw;theapprovalauthorityandapprovalitemsofgovernmentsatalllevelswillbeadjustedtocutofftheindustry,Theinternalcausalitybetweenthesectoralandlocaleconomyandthestrengtheningofadministrativemonopoly.

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