Market structures

By Ander Alcaide
Pure competition Monopolistic competition

Advantages: Advantages:
There is no company with more power than o Companies can easily enter and leave these
ther type of markets
All prices are fair Buyers have a lot of options because all the
products are different

Disadvantages:
It's a very uncommon market structure
Sellers can't innovate their products because
it won't have effect in their sales
Disadvantages:
Companies may change the final price of the
product
Companies need to spend of publicity so
products are sold at a higher price.
Oligopoly Pure monopoly

Advantages: Advantages:
If companies compete, consumers may buy Governments can changes prices to make it
at a very cheap price more equal for consumers
The prices are very stable, they don't change Companies try to get patents and this makes
significally them to research and develop.

Disadvantages: Disadvantages:
It's very difficult for companies to enter these Products have very high prices
markets
Companies have too many barries too enter
There are not a lot of companies inside the these markets, making it impossible to enter
market, so consumers have less choice when
buying
Sources

Parikh, Vinish. “Advantages and Disadvantages of Perfect Competition.” LetsLearnFinance, 16 Jan. 2020,
https://www.letslearnfinance.com/advantages-and-disadvantages-of-perfect-competition.html.

Parikh, Vinish. “Advantages and Disadvantages of Monopolistic Competition.” LetsLearnFinance, 3 Oct. 2015,
https://www.letslearnfinance.com/advantages-and-disadvantages-of-monopolistic-
competition.html#:~:text=Another%20advantage%20of%20monopolistic%20competition%20is%20that%20since,decision%20by%20comp
aring%20the%20features%20of%20various%20products.

Chief, Editor in. “15 Oligopoly Advantages and Disadvantages.” ConnectUS, 13 May 2019, https://connectusfund.org/oligopoly-advantages-
and-
disadvantages#:~:text=Although%20the%20consumer%20prices%20in%20an%20oligopoly%20are,there%20is%20less%20debt%20for%2
0them%20to%20manage.

Pettinger, Tejvan, et al. “Advantages and Disadvantages of Monopolies.” Economics Help, 23 Sept. 2021,
https://www.economicshelp.org/blog/265/economics/are-monopolies-always-bad/.

“How Does Each Market Structure Benefit Consumers?” Buzz,

https://si.agilixbuzz.com/student/174187223/activity/beda60a80b5242eb8c285d836a3b8bb7.