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Gigantic Corp. just entered a new market that is dominated by many small firms serving different geographic areas. Gigantic Corp. has determined that it can

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Gigantic Corp. just entered a new market that is dominated by many small firms serving different geographic areas. Gigantic Corp. has determined that it can take a large share of the market by using a national distribution model and national branding. Sure enough, Gigantic Corp. comes to dominate the market (over 75%). Smaller competitors complain to the Department of Justice that they have been harmed and that Gigantic is trying to form a monopoly. Has Gigantic violated the antitrust laws? a. Yes, Gigantic knew its business model c. No, Gigantic is not a monopoly if it was better and would hurt small only controls 75% of the relevant providers and is therefore guilty of market. monopolistic behavior. b. Yes, by definition any company with d. No, it is not illegal to obtain a over 70% market share violates the monopoly through business acumen law and must divest assets to get below and economies of scale. 70%

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