For the courts, a key factor in determining what is unreasonable is whether the practice has a legitimate business justification. Monopoly refers to a market structure whereby there is only a single firm operating in an economy. The law is violated only if the company tries to maintain or acquire a monopoly through unreasonable methods. As that law has been interpreted, it is not illegal for a company to have a monopoly, to charge 'high prices,' or to try to achieve a monopoly position by what might be viewed by some as particularly aggressive methods. Section 2 of the Sherman Act makes it unlawful for a company to 'monopolize, or attempt to monopolize,' trade or commerce. In a monopoly market, the seller faces no competition, as he is the sole seller of goods with no close substitute. support many competing firms, and the competitive give-and-take prevents any single firm from having undue influence on the workings of the market. What is 'Monopoly' Definition: A market structure characterized by a single seller, selling a unique product in the market. This is not a concern for most businesses, as most markets in the U.S. Some companies succeed in the marketplace to the point where their behavior may not be subject to common competitive pressures.

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What is a monopoly