Types of Competition

What is the primary goal of a business?

• To provide employment

• To sell as much product and make as much profit as they can

• To support community services

• To innovate new products.

Fill in the blank: To achieve their goals, businesses must ______ with other businesses who sell similar products or who sell to the same type of people.

• cooperate

• compete

• ignore

• merge

When many places offer products that are similar which type of competition occurs?

• A) Perfect competition

• B) Monopolistic competition

• C) Monopoly

• D) Oligopoly

Which type of competition occurs when you are only able to buy from one seller?

• Perfect competition

• Monopolistic competition

• Monopoly

• Oligopoly

An economic market structure where companies sell identical products, and no single company influences the market price.

• Perfect competition

• Monopolistic competition

• Monopoly

• Oligopoly

In which market structure is advertising most likely to be used as a competitive strategy?

• Perfect competition

• Monopolistic competition

• Monopoly

• Oligopoly

In perfect competition, what happens to the price when less people want the product?

• Price goes up

• Price goes down

• Price remains the same

• Price fluctuates randomly

Hannah and Elijah are competing against each other by selling corn at a local farmers' market. What type of competition are they in?

• Perfect

• Monopolistic

• Monopoly

• Oligopoly

The best example of perfect competition is:

• Agriculture

• Jeans

• Soft drinks

• Fuel/Gas

What type of competition happens between places that sell similar projects like McDonald's, Wendy's, and Burger King?

• Perfect Competition

• Monopolistic Competition

• Monopoly

• Oligopoly