Perfect Competition, Monopolies, and Oligopolies
Our current module discusses monopolistic competition along with oligopolies and game theory concepts. All of this topics deal with various types of markets and their corresponding conditions.
Perfectly competitive markets, which we learned about earlier, are those markets where there are many buyers and sellers offering virtually the same good. When a Monopoly exists, and remembers that true monopolies are very rare, but the characteristics of monopolistic competition do often occur. This happens when a single buyer is selling a unique good. Another form of monopolistic competition is called a natural monopoly. Oligopolistic markets involve few sellers. These markets are commonly related to game theory types of strategic planning.
For the online assignment:
o Think about various companies, markets, or commodities where these types of market conditions live.
o What are the pros and cons of the market you chose to discuss?
o How do these type of sellers maximize their profit?
o Where is their shutdown point?
o Make sure to include supporting documentation for your findings. For example, if you use “Central Carolina Community College” as your example, make sure to include the article you read or research you found that led you to draw this conclusion.
To receive full credit on this assignment, make sure your paper has the following components:
• 12-point font
• At least one page.
• It must be submitted as a PDF. You will lose substantial points if you do not do this. If you have questions as to how to save your document this way, please contact me.
• Make sure to include at least two examples from outside sources such as articles, videos, blog posts, personal anecdotes, etc.
• Make sure your essay is properly formatted and is presented as an essay and includes items such as your name, title, date, etc.