Market Structures

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Market Structures
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Monopoly

• Single seller of a product dominates market
• price makers/price setters
• Barriers to entry high
• Most newspapers, Most cable TV

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Oligopoly

• More than one seller of a product
• Market dominated by a few firms
• Firms mutually dependent
• TV networks, recording industry, movie studios,
  radio

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Monopolistic Competition

• Many companies offer similar products
• Firms try to differentiate products
• Price set by market and firms
• Barriers to entry lower
• Magazines

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Perfect Competition

• Many sellers offer same product
• No firm dominates market
• No barriers to entry
• price takers