Does an Oracle takeover of Peoplesoft leave the market too concentrates?
Yes, because when we have many competitors in the market it will create the healthy market situation where the customer can see clearly about the differences of price and innovation. But if Oracle succeed with the take over it can create the unhealthy market situation. Because the competitions only focused on two companies, which are SAP and Oracle. Software market is very complicated and there are many different needed for users. So, it’s better to have many competitors to stimulate the creativity and the competitions it self. If only two companies playing as competitors, the companies will control the price and it will create monopoly market.
It’s quiet difficult to identify whether what oracle’s done is ethical or unethical. Because we’re don’t know for sure the market situation. What we know the takeover is only harm for the large company and it doesn’t affect to the people and the customer.
Do the large companies do more good than bad?
It depends on the company it self. We can’t measure whether the bigger companies do more good or bad rather than the small one, because we know that the bigger companies have the bigger power and also responsibility. It also depends on the market situation. It’s up to the company it self whether they want to use the power to make good changes or doing many unethical behaviors. The large companies can do more unethical behavior because they have more chance and opportunity to do it. For example if there’s only three companies in the market, the companies can create the price and it will control the market situation.
It’s better to have many companies in the market. So, they can compete each other and create more creative, healthy, and innovative market. If there are only a few competitors it may causes some unethical practices in the competition, like Price-fixing and bid rigging.
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