EFFECTS OF MONOPOLY ON POLITICAL GOVERNANCE

• Political and economical control may be too concentrated, democracy and competition get undermined.

• Reduced political accountability and transparency, increased corruption

• Shareholder interest may be confused or compromised by conflicting objectives

EFFECTS OF MONOPOLY ON CORPORATE GOVERNANCE

• Monopolization can lead to deliberate state policies and little objective regulation

• Management may not be interested to put in place any corporate governance practices

• Focus may get distorted away from commercial objectives towards political influence.

• Political favors can weaken management and accountability

• Lack of transparency