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Why National Monopolies/Oligopolies?

April 26, 2017monopolies National oligopolies

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Why National Monopolies/Oligopolies?

1 Answer

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10 Posted

• Ease of mind, don’t need to bother/worry about what/how they are doing • Competition Immunity • Business obsolete risk immunity • Government Backing, vested national political interest • Pricing Power • Inflation Proof • Confidence in Management Integrity First, keep a watch list on the National monopolies/oligopolies that you like, and compute their recent annual dividend. Next, decide on a yield requirement that you will be happy with, perhaps with varying yields for different sectors. For each of the National Monopolies/Oligopolies on your watch list, compute the price correction needed in order to fulfill that dividend yield.