Definition:

A market structure characterized by a single

seller, selling a unique product in the market. In
a monopoly market, the seller faces no
competition, as he is the sole seller of goods
with no close substitute.

Description:
In a monopoly market, factors like government
license, ownership of resources, copyright and
patent and high starting cost make an entity a
single seller of goods. All these factors restrict
the entry of other sellers in the market.
Monopolies also possess some information that
is not known to other sellers.
Characteristics associated with a monopoly
market make the single seller the market
controller as well as the price maker. He enjoys
the power of setting the price for his goods.

The following are examples of monopoly in real

life.
Monopoly Example #1 – Railways
Public services like the railways are provided by
the government. Hence, they are a monopolist
in the sense that new partners or privately held
Companies are not allowed to run railways.
However, the price of the tickets is reasonable
so that public transport can be used by the
majority of people.

Monopoly Example #2 – Luxottica

Luxottica – A Company that owns all the major
brands of sunglasses. The Company has bought
almost all the major eyewear brands however,
they are still named differently. This creates an
illusion in the mind of the customer that they
have a variety of sunglasses to choose from
although they are all manufactured by one
Company. Luxottica produces more than 80%
of the eyewear worldwide.

Monopoly Example #3 -Microsoft

Microsoft – Microsoft is a Computer and
software manufacturing Company. It holds
more than 75% market share and is the market
leader and virtual monopolist in the tech space.

Monopoly Example #4– Google

Google has become a household name and
whenever we don’t know any answer probably
googling is the answer. The biggest web
searcher with their secret algorithm controls
more than 70% market share. The Company
has grown into a web of services interlinked
with each other like the maps, Gmail, search
engine, etc. The Company has left its
competitors – Yahoo and Microsoft behind with
its innovation and technological advancement.