Interspecific competition

nature of competition and the mode of pricing in that market as the major characteristics. Market structure also mean that the number of firms in the market that produce identical goods and services. The market structure has a great influence on the behaviour of individuals firms in the market and will affect how firm price their product in the history. They are four basic market structures which are perfect competition, monopolistic competition, monopoly and oligopoly. In a perfect competition…

The principle of competitive exclusion, also known as Gause’s principle, tells us that it is impossible for any two organisms to occupy the same niche without one of them going extinct (Hardin 1960; Gause 1934). This principle is easy to see in frugivores, grainivores, and carnivores that use discrete food packets, such as an insect or seed (Hanley 1982). MacArthur (1958) clearly demonstrated that each species is uniquely adapted to their niche and their competitive advantage prevents niche…

Non Price Competition: In oligopoly there are just a couple of firms, in the market. The firms in oligopoly do not lower the price because by doing so they may start a tussle of Price War among the rival firms and the firm who starts the price war may ultimately loose. To keep away from price war, the firm uses other ways of competition like: Customer Care, Advertising, Free Gifts etc. Such a competition is called non-price competition. 3.4 Price Determination under Oligopoly…

1) Oligopoly: Oligopoly is a type of market structure in which very few sellers or firms holds the majority of the market. Oligopoly is resulted from a wide range of collusions which makes the competition to be lower and makes high prices for consumers. There is no specific limit for the number of firms but the number should be minimum. The actions of one firm will automatically effect the others firms.…

monopoly. One must first define and understand what a monopoly is. According to Bennett, (2016), monopoly is “a market structure characterized by a single seller, selling a unique product in the market. In a monopoly market, the seller faces no competition, as he is the sole seller of goods with no close substitute”. Microsoft is an organization that was accused of being a monopoly. All the videos, articles, and stories showed without a doubt that Microsoft met all the requirements of being a…

Intensity of Rivalry (High) Intense competition between numerous competitors has initiated major action between rivals that have led to lower profit margins in the electronic industry. In the recent years, the electronic store sector had consolidated in fewer players, since major competitors such CompUSA and Circuit City have exit the competition for lack of differentiation and the different downturns in the economy. This industry has high exit barriers, leading to higher lose if exiting…

of competitive rivalry. (Mindtools, Porter’s Five Forces, Author: Manketlow, 2015)  The threat of new entrants Grainger’s highly competitive industry would make it tough for a new entrant to be successful. A company could join the industry but competition would be fierce. The threat of new companies coming to the market and succeeding is low.  The threat of Substitute products The threat of substitute products is high. Suppliers could easily go down the street and purchase the product from…

There is aggressive competition to be seen in this industry as this industry has been around for a relatively long time. Rivalry occurs because competitors will either feel the peer pressure or seeing growing in opportunity of the business. The potential competition can be seen from sustainable innovation competitive advantage, price competitions and corporate strategy (Cafferky, 2015). The rivalry between the furniture retailers is viewed as medium to high threat as competitors have been…

Perfect Competition Perfect competition is the market structure in which there are many sellers and buyers, firms produce a homogeneous product, and there is free entry into and exit out of the industry (Amacher, R., & Pate, J., 2013). The model of perfect competition is defined by many buyers and sellers to the extent that the supply of one firm makes a very insignificant contribution to the total supply. Both the sellers and buyers take the price as given. This implies that a firm in a…

monopolistic competition model, those that fall between the markets alone, free competition and full of pure monopoly, are many. One of the important forms prevailing in monopolistic competition market is oligopoly, oligopoly which is narrower types of monopolistic competition. The oligopoly market contain a small number of producers may not exceed two in some cases, and called duopoly market. The oligopoly market problems are clearly distinct from the problems of free markets, competition and…