saturated market

How to create a monopoly in the saturated market?

Do you want to Create a Monopoly in the Saturated Market? Heyy guys, Whats going on? Today we will discuss on this topic.First of all, if you have no idea how to create monopoly then read my previous articles by click here. Yes, we all know that it is very difficult to create a monopoly in the saturated market but it is not impossible.We have seen a lot of examples, where creates a monopoly in the saturated market.

Before starting, We have discussed on the saturated market means what is the saturated market situation?The point at which a market is no longer generating new demand for a firm’s products there can be some factors like due to competition, decreased need, obsolescence, or some other factor.If you are dealing or facing with market saturation, it might be time to come up with a new idea or an innovation in a completely different market.Mukesh Ambani is the biggest example, Which creates a ownership in the saturated market by the launching of jio and the market was saturated but they created a monopoly.Ownership can never be created with the help of loss leading strategy or any other strategy.It can be created by that seller or producer, Who thinks of the benefits of the consumer, not for his profit maximization.

how to create monopoly in a saturated market?

Market saturation is a situation that rises with a rise in the volume of a product or service in a marketplace in its current state. At the point of saturation, a company can only achieve growth through the launching of new product, improvements, by taking existing market share from competitors or through a rise in consumer demand.

Some points to create a monopoly in a saturated market-:


1) Product Differentiation

how to create monopoly in saturated market?

In a saturated market, there is a many sellers but limited numbers of demand or consumer then in this case only one solution can be helped to get success in creating a monopoly is product differentiation.

 Product differentiation means to sell same product but with minor variations.Product differentiation is a marketing process that showcases the differences between products. Differentiation looks to make a product more attractive by contrasting its unique qualities with other competing products. Successful product differentiation creates a competitive advantage for the product’s seller, as customers view these products as being unique or superior.

2) Low-profit margin

This strategy works, When the competition of the market reaches their top and seller has no other option for growth or increases its product’s demand.Sometimes low-profit margin makes your revenue negative but it gives a chance to the seller to increase its demand.If the sales of any company decrease, companies operating at low margins will struggle to cover expenses. However, low-margin businesses can typically benefit from the economies of scale, meaning that these businesses can produce a high volume of goods quickly and at a low cost.

Low-profit margin helps to give tough competition in the market and at the point of saturation, where the seller has to face many problems to increase its sales and also compete with its competitor, then in this situation, low margins will help you to make a single seller in your market.Because no one can compete for your price of the product.


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