Dominance and Market Power

Dominance refers to a company's significant influence or control over a market, enabling it to affect prices, supply, or competition. Market power is the ability of a firm to set prices above competitive levels or hinder rivals, often due to factors like size, technology, or exclusive access to resources. When a company has both dominance and market power, it can impact market fairness and consumer choices. Regulators monitor these concepts to promote healthy competition, preventing any single firm from acting in ways that could harm consumers or the overall economy.