CATEGORY 1
COMPETITIVE ENVIRONMENT
COMPETITIVE ENVIRONMENT
Competition can be positive or negative for a business.
True or False?
True
If a company makes its product different or unique from competitors, what factor is this?
Differentiation
How many different market structures are there in our lesson?
Four!
I have MANY sellers. My products are NOT exactly the same, and businesses can choose their own prices. Entry into my market is relatively easy. Who am I?
Monopolistic Competition
What should businesses keep an eye on to help maintain a competitive advantage?
What their competitors are planning/doing.
A business has the largest share of its market compared with its competitors. Which factor is this?
Market leadership.
Name ONE of the four market structures.
Perfect competition, monopolistic competition, oligopoly or monopoly.
I have only a FEW large sellers. What one business decides to do can affect the others. Entering my market is very difficult. Who am I?
Oligopoly
What is a competitive environment?
The competitive environment considers the competition that may impact a business.
Which competitive advantage factor is about how a business sets its prices?
Pricing policies
Which market structure has ONE seller?
Monopoly
I have ONE main seller. It is difficult for new businesses to enter my market, and there are no close substitutes. Who am I?
Monopoly
What are the three levels at which a business can consider its competitive environment?
Local, national and international.
What does market share tell us?
The percentage of a market that a business holds.
Which market structure has many sellers and different products?
Monopolistic competition
I have MANY businesses selling the SAME product at the SAME price. Businesses cannot simply choose a higher price because customers can buy from another seller. Who am I?
Perfect Competition
What is a competitive advantage?
A unique capability, asset or strategy that allows a business to outperform its rivals and generate higher profitability or market share.
In which market structure do businesses sell exactly the same product?
Perfect competition
I help a business keep more of its money by carefully managing and controlling its costs. Who am I?
Cost Control