Types of Market Competitions
This type of market competition often has a single seller/firm dominating an entire market, creating no competition.
A Monopoly
This benefit happens when competitive pressure encourages businesses to create new products
Innovation
Entering or expanding in a ___ market makes it hard to gain a significant market share
Saturated
In a perfect competition, all participants have complete knowledge of prices and product quality, leading to
Informed decision-making
Competition might drive firms to lower ___, benefiting consumers
Prices
Constantly needing to innovate to keep up with or surpass competitors can strain resources and creativity causing ___
Innovation pressure
This type of market competition often has many sellers, product differentiation, free entry and exit, and non-price competition
Monopolistic Competition
Competition fosters productivity and contributes to overall ___
Economic growth
Competitors may engage in aggressive pricing strategies, leading to reduced ___
Profit margins