competition (2.5) Flashcards
1
Q
what is competition
A
where different firms are trying are trying to sell a similar product to a consumer
2
Q
what is price competition
A
where firms compete by lowering their prices of the products
3
Q
what is non-price competition
A
competition through non-price factors eg. quality, location, specialisation, marketing
4
Q
why do producers compete
A
- to enter a market
- to survive in a market
- to make a profit
5
Q
what is monopoly markets
A
a sole producer or seller of a good or service eg.royal mail
6
Q
what is oligopoly market
A
where a small number of firms control the large majority of market share eg.supermarkets-sainsburys tesco
