Answer:
Natural monopoly is the term that refers to a situation where it's more efficient and actually more desirable to have just one company rather than several competing companies.
Explanation:
An example of a natural monopoly is the tap water. Logically, just having a single company providing a network of pipes and sewage systems works well, this is because there are very high capital costs when it comes to setting up a national network of water pipes and sewers. if you have two different companies offering water the mean cost would be very high compared to just one firm and one network.
