Question

For Business Law

1. What is a monopoly? - (1-2 paragraphs)

2. What is an exclusive dealing contract? - (1 paragraph)

Answer 1

1

Monopoly is a form of market where there is only one seller for a particular product and he dominates the market in the form of revenue and market share. In monopoly form of market there is lack of competition, lack of subsitute goods.

2.

In such type of contract the seller agrees to sell its products or services to a particular buyer, or when a buyer similarly agrees to purchase all or a portion of its requirements of a product or service from a particular seller.

In other word it imposes restriction on seller or buyer as a consition for supply. For example NBC has the exclusive contract to broadcast Olympics in USA for a specified period.