1. Perfect competitive market, also known as pure competitive market or free competitive market, refers to a market where many production and sales enterprises in an industry provide similar and standardized products (such as grain, cotton and other agricultural products) to the market in the same way. Neither the seller nor the buyer can control the price of goods or services.
Second, monopoly competition is one of the main market forms, and the concept in economics is: a market structure that is infinitely close to perfect competition. The obvious characteristics of monopoly competition are:
1, there are many producers and consumers in the market, consumers have obvious preferences, and goods and services are "heterogeneous";
2. Market access is completely free;
3. Many commodities provided by various producers are different, but there is no essential difference.
3. Oligopoly means that monopoly capitalists or monopoly capitalist groups hold huge financial capital and actually control the lifeline of the national economy and state power. It is characterized by a small number of manufacturers, interdependence among manufacturers, stable prices and difficult entry for manufacturers.
Monopoly means that only one company (or seller) in an industry is trading products or services. Generally divided into seller monopoly and buyer monopoly. Seller monopoly means that the only seller faces the competitive consumers in one or more markets through one or more stages; Buyer's monopoly is just the opposite.
The differences are as follows:
Monopoly category
1, franchise
Some exclusive franchise privileges are stipulated and protected by law, and patent rights and copyrights are monopolies permitted by law. In order to encourage invention, most countries have patent laws, which shows that patent monopoly is caused by legal barriers. In some cases, the government grants exclusive rights to manufacturers; Sometimes the government grants the privilege of exclusive operation by bidding for contracts after competition.
2. Natural monopoly
If a product needs a lot of fixed equipment investment, and mass production can greatly reduce the cost, then a large manufacturer may become the only manufacturer in the industry. When a large manufacturer supplies all the market demand, the average cost is the lowest, and it is difficult for two or more manufacturers to make a profit in this market. In this case, the manufacturer has formed a natural monopoly.
3. Strategic monopoly
If no one has certain production technology or know-how except monopolists, the market will naturally form a technological monopoly. In the absence of technical barriers and legal barriers, manufacturers build barriers to establish or consolidate their monopoly position, which is strategic monopoly.
4. Other monopoly barriers
The above obstacles are not exhaustive, nor are they necessarily mutually exclusive. If the manufacturer controls the supply of a certain raw material. Any barrier that prevents competitors from entering the market is the cause of monopoly.