Monopoly vs Perfect Competition

Biological Parallel

Perfect competition drives profit to zero—as predicted by competitive exclusion. Gazelles on the Serengeti compete perfectly: identical niches, no differentiation, survival margins razor-thin. Lions, by contrast, monopolize the 'large predator' niche through size and coordination. Their 'moat' is biological: coalitions that exclude competitors. Perfect competition is ecologically unstable; monopoly (niche dominance) is the equilibrium. Markets, like ecosystems, don't sustain perfect competition long.