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There are three major systems in political parties. They are
(a) The One-Party System,
(b) The Two-party System,
(c) The Multi-party System. (a) The One-party System
In China, only the Communist Party is allowed to rule. This is not a good option since it is not a democratic system. A democratic system must have at least two parties and each party must have a fair chance of forming the government.(b) The Two-party System
Although there may be many parties in the country, only the two largest ones have a realistic chance of forming the government. This is seen in the USA.(c) The Multi-party System
Several parties compete for power and each has a chance of coming into power on its own, or in alliance with others. We see this in India. In the 2004 general elections, there were three major alliances, or fronts. The National Democratic Alliance, the United Progressive Alliance and the Left Front.We cannot say that any of these systems is better than the other, since these systems evolve over time, and the social and cultural norms of each country play a major role in the kind of system that evolves. The multi-party system in India is the result of the diversity of culture seen in the country.