A market with a number
offirms that compete
each other.
Behaviour of Firms
Keep low prices
Easy entry and exit
Normal profit
Super normal profit
Performance of Competitive FIrms
respond quiqly to consumer demands
Perform efficienly
Characteristicas
Firmis the industry
Price maker
High barriers to entry and exit
Market witha single suplier
Large scale ofproduction
Super normal profits in the long run
Absence of competitions