Oligopoly Market and Monopolistic Competition in the Digital Era: Shariah Economic Perspective

• Published in: Calitatea Vol. 24; no. 193; pp. 61 - 67
• Main Authors: Aziz, Abdul, Hidayat, Abas, Herlina, Ellin, Ernawati, Wanti
• Format: Journal Article
• Language: English
• Published: Bucharest Romanian Society for Quality Assurance 01.03.2023
• Subjects: Antitrust; Banking; Business competition; Competition; Engineering; Financial institutions; Human resources; Income distribution; Industry 4.0; Internet; Islamic financing; Islamic law; Literature reviews; Markets; Monopolies; Monopolistic competition; Search engines; Social networks; Indonesia
• ISSN: 1582-2559
• DOI: 10.47750/QAS/24.193.07

Imperfect competition markets, such as oligopolies and monopolies, are claimed to be unhealthy business activities because they contain elements of injustice, inequality, and imbalance that become irrational. In the current digital era, unhealthy competition is very possible to become big and profitable, although there are great opportunities for other newcomers to enter, due to lack of experience and human resources who are not necessarily competent and innovative, plus minimal capital, it is difficult to become competitors, let alone balance. As a result, concerns in the era of disruption with digital platforms regarding unfair competition through oligopolies and monopolies need to be watched out for. Shariah's economy that upholds the values of rationality, justice, equity, and balance rather than a free market is an important solution. Especially in the Industrial 4.0 era, which emphasizes the internet technology sector, it needs to be accompanied by the central role of human resources (Society 5.0), which upholds the four shariah economic values.