STUCTURE MARKET AND

COMPETITIONS
SRI DAMAYANTI
1922090039
 Definition and Understanding

The formation of a balanced price depends on what happens to

supply and demand in the market.
Demand here is the demand from all consumers to all sellers of an
item called market demand.
Supply is the sum of all the producers of the good in question.
 Type of Market Structure

1 Perfect Competition Market 4 Monopolistic Competition

Market

2 Monopoly Market 5 Monopsony Market

3 Oligopoly Market 6 Oligopsony Market

 Perfect Competition Market
Perfect competition market is a market structure in which there are many sellers and
buyers, each of which cannot influence the state of the market.
Perfect competition market is a market where the number of sellers and buyers
(consumers) is very large and the products or goods offered or sold are of the same or
similar type.

Example: Rice, Wheat, Potato, meat, egg, etc

 Monopoly Market
Monopoly market is a form of market where there is only one seller (single seller) and is
free to determine the price.
The seller is the price setter and the buyer is the price taker.
Monopoly market has several characteristics, including:
• In it there is only one seller but many buyers
• There is no one party, namely other producers who can produce substitute products.
• The buyer or consumer has only one choice and no other choice.
• The price maker is the producer
Example: PLN, Pertamina, Bogasari
 Oligopoly Market

An oligopoly market is a form of market which is controlled by only a few sellers

or consumers.
Each seller has an influence on the prices of goods sold, but not as much as the
influence of the monopolist.
There is interdependence between one company and another

Example: Forage Company (GPMT), Chicken Breeding Company (GPPU)

 Monopolistic Competition Market
There is an element of monopoly and an element of competition.
• Manufacturer of several
• Various products
• Advertising is very important
• Barriers to entering small industries
In monopolistic competition the company tries to increase its sales in various ways such
as advertising, door-to-door sales, giving gifts (bonuses), and others, as a result,
advertising wars and price wars often occur.
Example : Cosmetic Company, Drink, Snack, Drugs, Stationery
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