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> "Walmart is not a monopoly." not if you're definition is that there must be one, and only one, market participant to be a monopolist. but monopolies, in pra

> "Walmart is not a monopoly." not if you're definition is that there must be one, and only one, market participant to be a monopolist. but monopolies, in practice, are defined by market power (and monopsonies, by supplier power). you can control a market without 100% market share. that's the defining feature of a monopoly (market power), not market share. walmart has both monopolistic and monopsonistic power in the US, despite thousands of small alternatives and a few big ones (like costco, target and amazon, which together form an oligopoly, that individually and collectively have market power).

trentnix 7y ago
I think you’re confusing monopolistic behavior with unethical behavior. As the parent said, the existence of a strong (larger!) competitor means Wal-Mart isn’t a monopoly. My local Wal-Mart has a Super Target and Kroger right across the street, for goodness sakes. It’s not a monopoly. Undoubtedly, and the examples are numerous, Wal-Mart has used its market position to exploit its suppliers and to use their suppliers to creatively sell their own products. But these scenarios aren’t the product of Wal-Mart exercising monopoly power, but rather exploiting those suppliers who violate rule #1 of manufacturing: don’t be dependent upon a single customer or that customer effectively owns you.
- clairity 7y ago
  > "I think you’re confusing monopolistic behavior with unethical behavior." no. and besides, that's a false dichotomy. i literally described the foundational understanding of monopolistic behavior by economists and regulators (that it's predicated on market power, not market share). this is a basic tenet taught early on in business schools and economics programs. such clarifications are needed because many commenters fail to avail themselves of even a baseline understanding of the topic, which can be gleaned from just reading a wikipedia page let alone by having experience or even cursory training in the field. it's tiresome to read the same shallow misperceptions over and over again. let's establish the basics quickly and move on to the more meaningful discussion that can be had.
  - trentnix 7y ago
    Agree, let’s establish the basics. Here is the definition of monopoly: the exclusive possession or control of the supply of or trade in a commodity or service Dress it in as much nuance and confident language as suits you, it doesn’t change the reality that there is ample evidence Wal-Mart is not a monopoly.

trentnix 7y ago

I think you’re confusing monopolistic behavior with unethical behavior. As the parent said, the existence of a strong (larger!) competitor means Wal-Mart isn’t a monopoly. My local Wal-Mart has a Super Target and Kroger right across the street, for goodness sakes. It’s not a monopoly. Undoubtedly, and the examples are numerous, Wal-Mart has used its market position to exploit its suppliers and to use their suppliers to creatively sell their own products. But these scenarios aren’t the product of Wal-Mart exercising monopoly power, but rather exploiting those suppliers who violate rule #1 of manufacturing: don’t be dependent upon a single customer or that customer effectively owns you.

clairity 7y ago
> "I think you’re confusing monopolistic behavior with unethical behavior." no. and besides, that's a false dichotomy. i literally described the foundational understanding of monopolistic behavior by economists and regulators (that it's predicated on market power, not market share). this is a basic tenet taught early on in business schools and economics programs. such clarifications are needed because many commenters fail to avail themselves of even a baseline understanding of the topic, which can be gleaned from just reading a wikipedia page let alone by having experience or even cursory training in the field. it's tiresome to read the same shallow misperceptions over and over again. let's establish the basics quickly and move on to the more meaningful discussion that can be had.
- trentnix 7y ago
  Agree, let’s establish the basics. Here is the definition of monopoly: the exclusive possession or control of the supply of or trade in a commodity or service Dress it in as much nuance and confident language as suits you, it doesn’t change the reality that there is ample evidence Wal-Mart is not a monopoly.