ABSTRACT
This introduction presents an overview of the key concepts discussed in the subsequent chapters of this book. The book provides an introduction to the main thesis and an overview of competition and monopoly power. It examines the barriers to competition and competition with reference to market power, drawing attention to what the South African antitrust authority practically deems, as epitomized by its Report 73, to constitute market power. It explores the price discrimination in the light of innovation and new product development. It discusses the underlying economic rationale for competition policy as exemplified by the structure-conduct-performance paradigm. Since the pharmaceutical industry is an aggregation of therapeutic markets within which firms compete in the book, a micro industry study is also conducted, assessing the level of competitiveness across therapeutic markets in both the private and public sectors. The book describes the theoretical expositions and the empirical findings presented, summarize the initial hypothesis.
