13- The market, including non/physical markets Flashcards
What is a monopoly?
One firm which holds a lot of power and can control the price e.g. water company
What is an oligopoly?
Few large firms which can control their price, however they cannot collude to increase prices e.g. supermarket
What is perfect competition?
Many firms with identical products who have a lot of customers, they lack power
What is an monopolistic market?
Many firms which sell similar products and have many consumers between them. There is a non-price competition.
What is a market?
Anywhere a buyer/seller are in contact to estimate a price
What is a physical market?
stalls e.g. shopping centre
What is a non-physical market?
online e.g. eBay
What is market share?
The percentage of a markets total sales that is earned by a specific company over a certain amount of time
How do you calculate market share?
(company sales / market sales) x 100
How can you get a higher amount of market share?
Be aware of customer needs
Selling more to existing customers
Marketing techniques
