perfect competition


Market in which no participant can influence prices. Characterized by a free flow of information, no barriers to entry, and a large number of buyers and sellers.

Use perfect competition in a sentence

Very few markets display perfect competition, since most markets have at least one large participant that has the majority share of the market power.

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They were the perfect competition for our team because they had a good lineup that worked great together like us.

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The state of perfect competition meant there were be no competitors to deal with and the business would have a great chance to grow.

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commoditize imperfect competition