About Lesson
Perfect Competition
Perfect competition includes a number of small companies who are in competition with each other. There are no barriers to entry which means that anyone can start a business and gain access to the market. The product is exactly the same for everyone and there is little branding to be seen. The businesses have to accept the market price, that is, they are price takers. This type of competition is often seen in markets where farmers have to accept the market price for their produce.
