Refers to a monopolistic competition in the market, there are many enterprises in the production and sales of similar but not identical products. Refers to the monopoly competition market, there are many enterprise production and sales of similar but not identical products market organization. Its formation requires three conditions: first, there are many companies on the market to produce the same but distinct products, these products are close to each other, and can replace each other. Second, the number …show more content…
A complete protection of competition law system for the normal operation of market mechanism and economic growth is indispensable. Today the world's major developed countries have their own competition law protection system, such as antitrust laws of antitrust law in the United States, Japan and the European Union's competition policy. And monetary policy, fiscal policy, or any other indirect regulation of economic means, the law directly affect the enterprise's organization and behavior. The United States is the world implement the strictest countries anti-monopoly law; anti-monopoly law regulations are also the most …show more content…
Antitrust theory, according to a study of the complexity of the phenomenon of monopoly and antitrust practice lies in: first, natural resources distribution imbalance can cause capital into difficulties, form the hard to avoid resource monopoly, such as coal, oil and other energy development, and a few rare product supply. Second, antitrust, safeguard fair competition policy with moderate the contradiction between the development scale and economic policies, specific definition of monopoly phenomenon often meets with difficulties, in a dilemma. Some large companies such as Intel, Microsoft and Boeing and some highly concentrated market microprocessor, telecom and aircraft manufacturing practice shows, that in terms of innovation and productivity growth, which has the best performance. Some economists reckon that, in a completely free competition in the market, there will always be part of the enterprise through their own efforts to gain some degree of monopoly. Therefore, the enterprise in the industry monopoly is a kind of market behavior; itself is the result of the competition. If the government to break up a company, that would be a very bad precedent, as companies which can produce confusion of antimonopoly law, will be on their hard-won market share the confidence, is bound to be appointed at a touch, slack product and technology