Market economy can be called a complex system that integrates financial, operational, informational, legal and commercial organizations.All of them can be described in one concept - the market.It is a place where there are consumers who have demand for a certain category of goods at a certain price, and manufacturers who can offer a number of products at this price.Market allows you to set prices and sales volumes.
determined by the parties market economy is competition.It defined the relationship between manufacturers, which resulted in the set prices and volumes of products sold.There is also competition among consumers, which also affects the figures.Competition is an essential condition for the formation of market relations.
There are different types of market depending on the type of competition.
market of perfect competition - a model of market relations, which is considered ideal.At the same time, there are no constraints on the development of the market.
market of perfect competition has both positive and negative moments.Its features are:
1. A large number of vendors that do not affect the overall situation in the market, due to the small proportion of the sales volume.Also, there is also a large number of consumers.This is an automated market.
2. No restrictions on entering the industry that delivers the goods on the market and the free movement of resources from one object to another.
3. Lack of diversity of goods.That is, the market is not trademarks, brands, etc.
4. Market perfect competition characterized by the inability of sellers or consumers influence the level of prices.The cost of the goods is established spontaneously.Other market participants also may affect pricing.
market of perfect competition is open to all participants.Supporting factors such as promotions, do not have much impact on sales.This is due to the fact that the presented products are homogeneous.The market is completely transparent.
This market has clearly given value - the value of goods.
In this regard, the market of perfect competition produces certain behaviors of participants.They can be represented in several versions.
The first option is the acceptor rates.All market participants have full and open information on the cost of the goods.None of the participants has on the formation of prices no effect.If the seller overestimates the price, buyers will go to its competitors.If the price is too low, the seller will not be able to satisfy a demand completely.
second option available on the market with perfect competition, this control quantity.Every seller in connection with the opening of the market can regulate the amount of goods sold.
In summary, it can be noted that the labor market in conditions of perfect competition are also considered to be more open and accessible.Each participant will have the right to choose the most suitable conditions that are equal for all.
However, this model of the market is quite rare.Mostly dominated by imperfect competition in which not all participants have equal opportunities.If such an organization is probably the emergence of monopoly.Some market participants have the opportunity to influence the price of goods or services.
This is the difference between perfect and imperfect market competition with each other.Basically, this inequality of opportunity, the impact on the price of the part of market participants, non-free market access and unfair competition.