Monopolistic market is one, in which, there is only one producer or seller of a specific product. This product should not have a close substitute. There are effective restrictions on entry of new firms in the industry. These obstacles can be artificial, institutional, economic or financial. In India, Indian Railways, State Electricity corporations, etc. can be its examples. Pure monopolistic market cannot be seen in practice. Imperfect competition market can only be seen in actual. This is of course an imaginary concept. In present time, whether it be Indian Railways or State Electricity coroporations, all have to face competition, i.e. Railway has to ccompete with roadways, similarly, electricity department faces competition from alternative energy sources (solar energy is a strong competiter).

It is clear from the above analysis that both pure monopoly and perfect competition are theoretical hypotheses, not seen in real life. Both have their limits. In fact, a-state between these two exists in markets, which is also called imperfect competition market.