Marvin is a very good businessman. He starts Marvin's Bike Company in the small town of Wheatland, South Dakota. There is one other bike store in Wheatland. Through good business management, Marvin's Bike Company obtains a great deal of market power in Wheatland. This acquisition of monopoly power is

Question

Quizplus · Accepted Answer

Obtaining market power through good business management is not necessarily an antitrust violation. Antitrust laws only prohibit the use of anticompetitive practices to acquire or maintain monopoly power, not the mere possession of market power. As long as Marvin's Bike Company did not engage in anticompetitive behavior, such as predatory pricing or exclusionary tactics, they are not violating antitrust laws.

Marvin Is a Very Good Businessman