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Characteristics 1.very Large Numbers 2. Standardized Product 3." Price Takers" 4. Free Entry and Exit
Characteristics 1.very Large Numbers 2. Standardized Product 3." Price Takers" 4. Free Entry and Exit
Characteristics:
1.Very large numbers
2. Standardized product
3. Price takers
4. Free entry and exit
Productive efficiency
Characteristics:
1.Single seller
2. No close substitutes
3. Price Maker
4. Blocked entry
5. Non price competition
Demand by a monopolist:
demand is elastic, a decline in price will increase total
revenue.
Slope of Monopolists demand curve : Downward
Barriers to entry:
1.Economies of scale
2. Legal barriers to entry:
Patents and Research
3. Ownership or control of
essential resources
4. Pricing and other
strategic barriers to entry.
Monopolist Demand curve is its market
demand curve:
Because the pure monopolist is the
industry.
1.Monopoly power
2. Market
segregation
3.No resale
Characteristics:
1.A relatively large number of sellers
2. Differentiated products
3. Easy entry to, and exit from
Aspects of product differentiation:
1. Product attributes
2. Service
3. Location
4. Brand names and
packaging