CHAPTER 55 EVALUATING COMPETITION AND MONOPOLY Flashcards
1
Q
Creative destruction
A
A process where firms produce or create innovative new products that replace or destroy existing products in the market; for example the internet has led to a significant shift of spending from bricks and mortar high street shops to online shopping.
2
Q
Multi-plant monopolist
A
The sole producer in an industry but where production takes place at a number of different sites or plants, each of which could be sold off to provide competition in the industry.
