Transformations in
Business & Economics
- © Vilnius University, 2002-2011
- © Brno University of Technology, 2002-2011
- © University of Latvia, 2002-2011
Article
Building Monopolistic Position – Contemporary Decisions, Old Solutions
Tomasz Bernat
ABSTRACT. The role of competition in the market as well as triggering and fostering the development of entrepreneurship is highly significant in contemporary world. Occasionally, companies are supported by the state with an aim to promote its entities and through this, to increase their and its own competitiveness on international or even global scale. It appears interesting therefore to investigate whether in contemporary world companies are building their monopolistic positions through investments made in other regions of the world. In the example analysed further on, the focus will be on China investments in Africa aimed at building monopolistic position in the future resources market. The following issues will be examined: theoretical analysis of methods to build one’s dominant position in the market, assessment of African continent in terms of its attractiveness for investors, and presentation of actions taken by enterprises and Chinese Government in relation to investment in Africa.
KEYWORDS: developing economies, monopolistic position, market dominancy, determinants of market position, FDI, China, Africa.
JEL classification: D43.