water, and a popular trademark that ensures customer loyalty e.g. Pepsi (Dick and Basu, 1994)
It can also refer to a situation where a good or service has only one provider and is usually common with large corporations such as Microsoft. Such a market is characterized by many buyers and consumers being supplied by one firm, the product being sold by the firm being unique and with no close substitutes, the firm enjoys market power, and a restriction in market entry (Gabszewicz, 2000)
These characteristics are significant to both economics and marketing and play a direct role in strategic decision making. The choice behavior of market actors is affected by the characteristics and extent of competition in the market (Kirzner, 1973)
This drop in output levels will create an artificial scarcity of the product concerned which impacts negatively on the consumers since they have neither alternative sources nor substitutes for that particular product. Another possible outcome of a monopolistic market is a lower level of product quality than would otherwise be experienced in a competitive market (Mussa and Rosen, 1978)
Such lower level quality will also extend to the quality of related goods and services. What this implies to the consumer is that his needs for the right quality of products will not be met and he will have no choice but to go for the lower quality product (Pacheo, 1989)
Since monopolists have the power to control the prices of their products/services in the market they may decide to raise them so high that the consumers will not be able to comfortably buy, this is contrary to a situation where the market competition is perfect and the prices are controlled by the market forces of demand and supply. For instance when Microsoft was still a monopoly in all segments of the computer market the prices were so high but when this monopoly ended in certain segments the prices came down by almost half (Painter, 2003)
Monopoly and Imperfect Competition form part of the market taxonomy and in order to understand them then what a market structure refers to should be understood first. A market structure can be simple defined as the organizational and operational characteristics of a market which have an influence on the competition and pricing (Riley, 2006)
In extreme cases these harmful effects are successfully hidden by the monopolists. One of the ways that monopolists can harm consumers is by causing substantially higher prices for the products and/or services that they provide (Schwartzman, 1959)
Each mode viewed the other as a competitor and, hence, treated it with some level of mistrust and suspicion. Public policy accentuated the situation further by frequently barring "companies from owning firms in other modes" (Rodrigue & Slack, 2014)
Nextag Shopping Website and customer review website Yelp have repeatedly accused Google, which controls 67% of the market, of ranking its own products above those of competitors in search results. Google's rivals cite an example in which a Google search for 'Best New York Sushi' displays Zagat, a Google-owned restaurant review site, as the first result, though this is not the information the customer is searching for (Marrs, 2012)
Nextag Shopping Website and customer review website Yelp have repeatedly accused Google, which controls 67% of the market, of ranking its own products above those of competitors in search results. Google's rivals cite an example in which a Google search for 'Best New York Sushi' displays Zagat, a Google-owned restaurant review site, as the first result, though this is not the information the customer is searching for (Marrs, 2012)
Typically, there are a number of bodies that can investigate fraud, depending on the type of the fraud and its amount. The SEC might investigate a Ponzi scheme like Bernie Madoff, but other forms of fraud might be subject to criminal investigation at a more local level, or even the FBI level (Lenzner, 2008)
Some of the factors expected to fuel economic growth of the bakery industry include affordability of the bakery products, convenience, and health benefits associated with the baked products. Therefore, it is important for new entrants into the market such as James Baxter bakery to conduct market analysis to ensure its success and performance in the competitive marketplace full of established bakery industries (Cousins, Foskett, and Pennington, 2011)
Unlike the macro-environment, which its impacts become apparent after a long period, the effects of the microenvironment become apparent immediately within the business. Therefore, this section covers the components of the microenvironment, the suppliers, intermediaries, publics, and competitors that will determine the performance of James Baxter Bakery (Dopson and Hayes, 2011)
The intermediary suppliers will help the company in marketing its products. The public will influence consumer perception of the products of the James Baxter Bakery (Fratamico, Annous, and Gunther, 2009)
The components of the external environment affect planning, implementation, monitoring, and outcome of a designed strategy in an organization. Therefore, this section will describe some of the macro-environmental factors that will affect the performance of the company (Ionescu-Somers and Steger, 2008)
It also allows the new company to identify the consumer needs and the nature of bakery products highly demanded in the market. The analysis covers areas such as the purchasing habits of the consumers, commercial information about the targeted market, competitors' information, demographic and geographic information, and structural requirements to ensure success of the business (McDonald and Meldrum, 2013)
Personal factors, including the preference to the product also affects their buying power. Consumers have mixed traits, sociability, ambition, charisma, autonomy, curiosity, and lifestyle that influence the buying behavior of the consumers (Ojugo, 2010)
They also promote unhealthy competition between bakery companies. This occurs through the suppliers promoting the marketing of the company's product more than those of the companies promote (Weygandt, Kieso, and Kimmel, 2010)
The second option is represented by the possibility for the entrepreneur to seek an additional investor. This investor would bring in the still needed sums of money, sharing in the risks of the initial entrepreneur; the new investor will nevertheless own capital and will as such influence the decision making process in the firm, diminishing the control of the initial investor (Longenecker, Moore, Palich and Petty, 2006)