Russia Market

To better understand the nature of imperfect competition is necessary to consider classification of market structures. As evidence, determine the shape of the market structure, consider the following: number of member firms in the industry, the nature of production, barriers to entry when entering into industry, the degree of control over price. It should be noted that in reality there is only perfect competition or just a pure monopoly. In practice, one can observe a large variety of different elements of market structure, presented in Table 2. Monopoly – a large company, a corporation combining several companies and are achieved by this definition (monopoly) position in the market of individual product or group of products.

In fact, almost impossible to find a situation would have acted when only one producer of goods that have no substitutes. And so in the use of this term is always there is a certain amount of reserve. In our country, the law firm may be considered dominant in the market of the product, if its share exceeds 50%-ing the amount established by the antimonopoly authority. The purpose of creation Monopoly – the most possible revenue by controlling production and sales of goods. One method of achieving this goal is the establishment of monopoly prices.

Such prices are consequence of an agreement between the monopoly, dominating the market of the product, and installed based on the calculation of obtaining the greatest possible profits from the sale of goods. One should distinguish between two kinds of monopoly prices: 1) high monopoly prices (prices charged for goods they sell), 2) monopoly low prices (the prices are set by a monopoly on buying their products). Monopoly leads to concentration of production, allocation few large producers who agree among themselves, forming a certain period of time the alliance – the union. On short-term fluctuations in demand monopoly prefer not to answer the price change, and maneuvering capacity utilization. To achieve its goals monopoly widely use the following methods of fighting: 1. The economic boycott – full or partial waiver of economic ties with outsiders (businesses, non-monopoly). Monopolies offer dependent on their customers not to buy goods of other firms, as they allegedly inferior quality. 2. Dumping – The intentional sale of goods on the "bargain" prices in order to ruin a competitor. 3. Restricting the sale of goods independent firms. 4. Maneuvering prices – monopoly raises prices on products marketed to small owners, and simultaneously applies a secret discounts and concessions in this regard for large buyers. 5. The use of financial tools to combat competitors. Identify different types of monopolies, bearing in mind the following criteria: 1. Based on the coverage of the economy: – pure monopoly (the seller has complete control over the market) – a limited monopoly (seller has partial control over the market) – an absolute monopoly (production and sale of goods concentrated in the hands of the state). 2. Depending on the nature and causes: – natural (businesses and organizations that have at their disposal rare and freely reproducible elements of production: Rare metals, fertile land, oil, gas, etc.) – a monopoly that occur during a specific agreement rival producers (cartels, syndicates, trusts, corporations, conglomerates). In our country, before restructuring of the Railway Ministry were the big monopolies: rao Gazprom. rao ues of Russia ". Railway Ministry.