Watch the YouTube video “Antitrust Laws (Competition Laws) Explained”, located on the YouTube channel One Minute Economics to learn about monopolies and laws that protect businesses and consumers. They discuss ways large businesses dominate the market to form monopolies, cartels, and collusion. A large company dominates the market, making it impossible for other companies to compete or open a business.
Some techniques companies will use to control the market are two companies will split a city in half. The two companies will dominate half of the market or merge to form one company.
These two companies often have 30% of the market share. Smaller companies often hire an antitrust attorney to fight larger companies when this occurs.
Another tactic companies use to form monopolies is that businesses collude instead of competing with each other. With bidding or auctions, companies agree ahead of time on who will get the contract or win the auction bid. It is not a fair competition as it has already been decided.
Three antitrust laws that protect businesses and consumers from monopolies are The Sherman Antitrust Act, The Federal Trade Commission Act, and the Clayton Anti-Trust Act. Businesses that break these laws have to pay fines or even serve jail time. An antitrust attorney can help small or medium-sized businesses fight these unfair business practices.