The concept of a market:24/03/22
Hello everyone hope you all doing well, today I will be talking about the concept of market
This refers to any agreement which the buyer and the seller have brought into contact with one another agree on a price. The behavior of a particular firms depends on the type of market in which is it operating . Every firm is faced on two basic decision, which is what price to charge for it product inorder to maximize profit , and what output level to produce in other to minimize cost .
MARKET STRUCTURE
The market structure is made up of two component that's the perfect market and the imperfect market
1_ The perfect market: this is a market structure in which the exist only one market price for each given product at a particular time, this price is beyond the influence of any buyer or seller
Some characteristics of perfect market would be listed below
Many buyers and sellers
Freedom of entry and exit
Perfect knowledge of the market price
Unique price in the market for each particular product
2 imperfect market: this is the market in which prices can be influenced by the buyer or the seller, examples of this market include Monopoly, monopolistic competition . In my country cameroon, we operate under the imperfect market system whereby there are so many buyers and sellers operating under varouse prices. Thanks or reading through 😊👍
This post is curated by the Steem Cameroon curation account 🇨🇲
Your post is amazing and it depicts what we should consider while creating a firm. You also talked of the perfect and imperfect market. Quite interesting post but the format isn't attractive.
Keep writing good content and Steem on!
Review by @majerius