Market Structures
There are two main market structures in the market known as monopolistic competition as well as oligopoly. They fall between the extreme of real competition and pure monopoly. The two structures are vital because they provide descriptions of companies and industries that are found worldwide. The market structures differ as each one has different characteristics associated with either monopoly or oligopoly.

Oligopoly Market Structure

The first characteristic associated with oligopoly is there that there are a few, large companies that dominate the market. Another element is the production of identical commodities that are similar as well as significant obstacles to entry. The market structure is associated with interdependence of decisions regarding production within the market. Such a market where a small number of companies control the supply to a whole market (Papandreou 1999).Each company produces a similar product. The market structure does not only rely on the larger producers but recognize…...

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References

Caves, R.E., & Porter, M.E. (June 01, 1978). Market Structure, Oligopoly, and Stability of Market Shares. The Journal of Industrial Economics, 26, 4, 289-313.

Kinokuni, H. (January 01, 1999). Repair Market Structure, Product Durability, and Monopoly.

Australian Economic Papers, 38, 4.)

Papandreou, A.G. (September 01, 1999). Market Structure and Monopoly Power. The American

Point C:

Based on personal experience, one additional strategy and variation on the other given strategies is to examine the growth in Real GDP. When the GDP increases, a firm is likely to have enough extra capacity to increase production and sales and launch new products. Or, it can control its production and bide its time when the economy is in a recession.

In this case, during a period of overall economic expansion in the home country, a new advertising campaign that launches a new product that brands the product with a new image against the competitors, combined with a tie-in to the older product line, is one way to create a lasting inroad into the existing domestic market. Exploring possible international opportunities during a domestic recession, where inventory can be exported rather than sold domestically at a lesser price (tainting the image and driving prices down) is another key part to…...

ith respect to its operations, Verizon ireless is unparalleled. Indeed, it "is one of the strongest competitors due to the foundation of its large nationwide service area and strong customer base. ith two quarters of 1.9 million net additions, it has set the bar for competitors to reach." (B, 1)
This is based on a convergence of extremely visible advertising tactics via television, radio, billboard and sponsorship with a service quality that is unmatched. Boasting and demonstrating a wireless network which shows limited gaps in service reliability if any, Verizon is shown to be particularly competent in the area of wireless service quality. This is its most distinctive competency, with the fewest dropped calls recorded by its customer base and the most expansive calling area in the business.

Analyze how organizations in each market structure maximize profits.

As part of an oligopoly, Verizon possesses this distinction and is simultaneously part of a…...

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Works Cited:

Business Wire (BW). (2006). Verizon Wireless Has Set the Bar for Competitors to Reach. BNet.

Market Structures:
Market structure is described as the institutional or organizational attributes and characteristics of a market. In most cases, the market structures mainly focus on the characteristics that impact the nature of pricing and competition through it's not important to major simply on the market share of the existing companies in a particular industry. Some of the most common market features include the number of companies, the nature of costs, market share of the largest companies, the vertical integration of the industry, product differentiation, customers' turnover, and the structures of buyers within the industry. Markets are usually divided or classified based on the composition of business and what it offers to the specific market. In contrast, the composition of the business is determined by the structure of market characteristics, which helps in determining the area and level of competition. The structured variables or characteristics are categorized as perfectly competitive,…...

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References:

Ellickson, P.B. & Grieco, P.L.E. (n.d.). Wal-Mart and the Geography of Grocery Retailing.

Retrieved October 24, 2012, from  http://paulellickson.com/WalMartGeography.pdf 

"Four Market Structures." (n.d.). Micro Lecture 4. Retrieved from Los Angeles Harbor College

website:  http://www.lahc.edu/classes/socialscience/economics/chan/MicroLecture4.ppt

Market Structures Table
Compare the four market structures by filling in the table.

Perfect competition

Monopoly

Monopolistic competition

Oligopoly

Example organization

Hair Shampoo Companies

Saudi Arabian Oil

Cereal companies

Cell phone companies

Goods or services produced by the organization

Hair products

Oil and gas

Breakfast cereals and comparable products

Cell phones

Barriers to entry

Chemistry knowledge

aw materials few

Technology

Number of organizations

Many

Few

Few

Few

Price elasticity of demand

Is there a presence of economic profits?

yes yes

Based on the details available to you in the strategic plan, marketing overview, market surveys, and other material, how does the organization compete in the marketplace? What are the strengths and weaknesses of the firm as indicated by the marketing surveys completed by their customers?

Kudler is a company which is strongly devoted to pleasing their customers. The company constantly pushes itself to engage in the highest level of though t and innovation to attract a new realm of customers and to bolster customer loyalty. Kudler has consistently engaged in customer-focused programs which are designed to increase the…...

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References

ActionCoach. (2013). 11 Ways to Double Your Customer Base in Four Weeks. Retrieved from Actioncoach.com:

 http://www.actioncoach.com/_downloads/whitepaper-FranchiseRep4.pdf 

ERelease. (2013). How to Expand Your Customer Base Without Angering Your Core. Retrieved from eReleases.com:

 http://www.ereleases.com/prfuel/how-to-expand-your-customer-base-without-angering-your-core/

Market Structures
Principles of Microeconomics

ECO/365 Principles Microeconomics

Differentiating Between Market Structures

Cadillac Automotive

Cadillac Automotive is a U.S. based automobile manufacturer that manufactures luxury vehicles. The company is owned by General Motors. Cadillac originally used to make carriages. The company sells in more than three dozen countries with its major operations centered in North America. It is regarded as the second oldest automobile manufacturer in U.S. after GM marque Buick. The industry Cadillac operates in is highly lucrative and money making (SWOT analysis of General Motors, 2013). The luxury cars do not make money by mass production rather by selling on premium prices. Here is the analysis of industry Cadillac serves in and a discussion of its market structure (Automotive Strategy, Planning & Analysis: IHS Automotive, 2013).

Market Structures

The market structure tells the way business is done in an industry. The market structure can be of four basic types. A market may have strong…...

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References

Automotive Strategy, Planning & Analysis: IHS Automotive, (2013), Retrieved from:

 http://www.ihs.com/products/automotive/index.aspx 

Comparing Market Structures, (2012), Retrieved from:

 http://microeconomicswithsarbjeet.blogspot.com/2012/12/comparing-market-structures.html

Market Structures
Simulation Table

Perfect Competition

Monopoly

Monopolistic Competition

Oligopoly

Open Source Software

Microsoft

Apple

Health Care Insurance

Goods/services

Linux (O/S)

Operating System

O/S, Devices

Insurance

Barriers to Entry

Medium

Number of Organizations

Few

Few

Medium

Few

Price Elasticity

Limited

Medium

Economic Profit

Limited

Apple Inc. -- Market Structure

There are different perspectives in which to view Apple's market structure since they operate in so many different markets. One perspective could be from an internal approach, in which the organization could be perceived as somewhat monopolistic since their hardware and software is "closed" sourced. Apple protects its proprietary hardware and software and does not willingly provide their source code to unapproved developers. Therefore, it could be said that Apple has monopoly control over the goods, services, and software that will work with its products. This allows the organization to charge a considerable premium for many of its products; especially the accessories that work with main products.

However, when considering the perspective that includes the entire market and the range of substitute products that exists, Apple faces considerable competition. In…...

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Works Cited

Bui, D. (2012, April 3). Little Known Secrets of Apple's Pricing Strategy. Retrieved from Sales Chase:  http://www.saleschase.com/blog/2012/04/03/little-known-secrets-of-apples-pricing-strategy/ 

Keizzer, G. (2009, October 19). Apple sets sales records 'as if recession never happened'. Retrieved August 22, 2012, from Computer World:  http://www.computerworld.com/s/article/9139574/Apple_sets_sales_records_as_if_recession_never_happened_ 

Landau, T. (2011, August 11). Imitating Apple is a Losing Strategy. Retrieved from Slanted Viewpoint:  http://www.tedlandau.com/slantedviewpoint/index.php/archives/2011/823 

Oliver, S. (2009, January 28). Global recession catches up to Apple's retail stores. Retrieved August 22, 2012, from  http://www.appleinsider.com/articles/09/01/28/global_recession_catches_up_to_apples_retail_stores.html

egulation and Market Structures
Industrial or economic regulation can be defined as an act of government or a governmental body to regulate an industry in its entirety. Commonly the most regulates sectors include, the airline industry, banking sector, rail and road, and television broadcasting. The main aim of taking such regulatory measures is for the agency to take closer look (to monitor) on the industries' price and products to ensure that such industries do not start a monopoly and take advantage of consumers, unfortunately such regulatory bodies at times have been prone to working close they with those industries they are purportedly regulating, they in the long run end up working for the industry and legally raise prices, prevent completion and consumers in the end suffer.

Social regulation on the other hand includes those regulations associated with the environmental control, healthy and safety regulations, restrictions on labeling and advertising. There are…...

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References

Fred E. Foldvary, (1999). Natural Monopolies. Retrieved September 26, 2012 from  http://www.progress.org/fold74.htm 

John B. Taylor, (2002). Economic Regulation vs. Social Regulation. Retrieved September 26,

2012 from  http://college.cengage.com/economics/taylor/econ/3e/micro/students/add_topics/ch12_econ_reg.html

KUDLER
Option

Differentiating Between Market Structures Table

Compare the four market structures by filling in the table.

Perfect competition

Monopoly

Monopolistic competition

Oligopoly

Example organization

Grocery stores

Utility companies

Cable companies

Automobile companies

Goods or services produced by the organization

Indistinguishable from others unique

Very unique

Fairly unique

Barriers to entry nonexistent

Virtually insurmountable high

Relatively high

Number of organizations many few

A small group

Price elasticity of demand

Highly elastic none

Relatively inelastic

Relatively inelastic

Is there a presence of economic profits?

negligible yes yes

Kudler Fine Foods Virtual Organization:

The firm's strategic plan and marketing overview

Kudler Fine Foods is a purveyor of fine, gourmet and all-natural foods. It has a relatively small array of stores in the state of California. All stores offer products to customers that desire something out of the ordinary in their food selections. Kudler stocks wines, cheeses, and specialty items as well as fresh produce for 'foodies.' Kudler also has an online component. It currently adopts a differentiated market strategy -- it offers uniquely wholesome products to its consumers rather than competes on…...

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Works Cited

Fishman, Charles. (2007). The anarchist's cookbook. Fast Company. Retrieved:

 http://www.fastcompany.com/magazine/84/wholefoods.html 

Food fight. (2009). Associated Press. Retrieved:

 http://www.msnbc.msn.com/id/16811628/ns/business-us_business/t/food-fight-more-competition-more-choices/#.T1pOFnnn_98

ISP Market
Changing market Structures and Competitive Forces in the Internet Service Provider (ISP) Industry

The Internet went from being practically unheard of in the 1980s and early 1990s to being accessible in most of the homes and even on the phones of many people in the developed world just twenty years later. During that period of time, the industry of providing this access to consumers, the Internet Service Provider or ISP industry, has gone through many significant market changes. As the ISP market and industry has changed structure, there have been practical and financial effects on consumers as well as on the ISP companies and other related businesses, and indeed it is hard to imagine an industry with more significant volatility in the past two decades. The following pages will explore this volatility -- both the specific market changes and their impact -- as a means of exploring the general principles…...

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References

Altman, E., Rojas, J., wong, S., Hanawal, M. & Xu, Y. (2011). Net Neutrality and Quality of Service. Proceedings of the ICST Conference on Game Theory for Networks.

Faulhaber, G. (2010). Transparency and Broadband Internet Service Providers. International Journal of Communication 4: 738-57.

Hoovers. (2012). Internet Service Provders. Accessed 29 April 2012. http://www.hoovers.com/industry/internet-service-providers/1584-1.html

Waterman, D. & Choi, S. (2010). Network Neutrality and Vertical Control: Lessons from Cable TV. Proceedings of the Telecommunications Policy Research Conference.

Market Structure of Subway Sandwiches
At the national level, Subway operates in a nearly perfectly competitive market: there are a number of franchise competitors (Blimpee, Quiznos), regional chains, and independent establishments, and supermarkets Market barriers are reasonably low (a food truck can offer sandwiches and compete with a local Subway), consumers have a high degree of buying power (there is a low commitment level when buying a sandwich) and there are many available substitute goods. However, in some areas, competition may be less 'perfect' depending on the availability of other establishments where people on a quick lunch break can eat. Although there still may be many possible options, such as bringing lunch, the location and lack of competitors can make it easier for a Subway to thrive within a certain area.

Q2. What type of competition does your firm face? Who are some competitors? (Even if you said your firm is a…...

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References

Weiss, Steven. (2011). Subway vs. Quiznos. QSR Magazine. Retrieved April 18, 2011 at  http://www2.qsrmagazine.com/articles/columnists/steve_weiss/1008/ 

Zajac, Andrew. (2010, August 25). Restaurant chains, vending machines will have to post calories. LA Times. Retrieved April 18, 2011 at  http://articles.latimes.com/2010/aug/25/nation/la-na-fda-calories-20100825

market structures in detail and analyses the pricing strategies that the firms have to undertake when they operate in different regimes. The case study on Toyota is considered next, which indicates that firms competing in various structures does not only have to focus on price and quantity ceteris paribus, they also have to consider external and internal variables that have a bearing on these decisions.
Introduction to Market Structures

Market structures are important parts of economic theory as they model market behavior that can help economists explain activities in industry with ease. Market structures, hence are basically models that define market behavior with respect to certain criteria so that it becomes simpler to compare events in real life to the postulated scenario as described in theory in order to be able to determine casualties and to define optimal strategies that firms operating in different market structures can use.

There are four main…...

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References

Bennett, D., Hagiwara, Y., & Kitamura, M. (2011, September 5). Toyota Bets on Japan. Bloomberg Businessweek, pp. 70-73,. Retrieved from http://web.ebscohost.com/ehost/detail?sid=fbe40510-c02e-4a4c-afc8-b21dbb1445c3%40sessionmgr11&vid=1&hid=10&bdata=JnNpdGU9ZWhvc3QtbGl2ZQ%3d%3d#db=bth&AN=60477158

Cusumano, M.A. (2011). Technology Strategy and Management Reflections on the Toyota Debacle. Communications of the ACM, 54 (1), 33-35.

John Petersen (2011). Bernstein and Ricardo Report: Cheap Will Beat Cool in Vehicle Electrification. Retrieved from http://www.altenergystocks.com/archives/2011/11/bernstein_and_ricardo_report_cheap_will_beat_cool_in_vehicle_electrification.html

Lipsey, R.G., & Chrystal, K.A. (2007). Economics. Oxford: Oxford University Press. Retrieved from  http://books.google.com.pk/books?id=HgXWV8JMC10C&printsec=frontcover&dq=Economics+lipsey&hl=en&sa=X&ei=qPIuT9DdPM7wrQeQ_LzYDA&redir_esc=y#v=onepage&q=Economics%20lipsey&f=false

Mergers can also help at least come domestic companies become competitive with international ones. Mergers potentially free up increased money for research and development.
Yes, it is possible for mergers to be beneficial overall. There is no blanket yes or no judgement that applies to whether or not mergers are beneficial. They are generally beneficial if the above conditions are met along with the following conditions: There remains sufficient competition that the newly formed company cannot enforce monopolistic conditions and that there remains freedom of entry into the market sector for new firms.

3. Why are competitive markets considered more efficient than monopolistic markets? Give economic reasons. Give a real-live example of a market that tends to be competitive and one that tends to be monopolistic. Describe characteristics that support your classification. Is there evidence of efficiency or inefficiency in either of the markets you describe?

Competitive markets are considered to be…...

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References

Managerial Economics: Economic Tools for Today's Decision Makers (6th ed.). Retrieved from  http://www.coursesmart.com/login .

Managerial EconomicsOutlineIntroductionOverview of Market StructureOverview of Pricingelationship between Market Structure and Pricing StrategyMarket Structure Pricing Practices Pricing Practices for Monopolistic, Monopolistic Competition, and Oligopolistic Markets Pricing Practices for Perfect Competition Markets Price Matching Inducing Brand Loyalty andomized PricingConclusioneferencesMarket Structure Pricing PracticesMarket structure is one of the major factors that shape decisions made by business owners and managers. Generally, business owners and managers do not make decisions in a vacuum as they consider various factors including market structure. Market structure is an important aspect of decision-making in businesses as it shapes decisions on how much output to produce and pricing of products/services (Baye & Prince, 2017). The consideration of these factors is essential to promote business success and profitability. Given its impact on pricing or products/services, there is a nexus between market structure and pricing practices. In this regard, decisions on pricing are influenced by consideration of the market structure. This…...

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ReferencesBaye, M.R. & Prince, J.T. (2017). Managerial economics and business strategy (9th ed.). New York, NY: McGraw-Hill Education. Farm, A. (2019, May 31). Pricing in practice in consumer markets. Journal of Keynesian Economics, 43(1), 61-75.Indounas, K. (2018). Market structure and pricing objectives in the services sector. Journal of Services Marketing, 32(7), 792-804.Kienzler, M. & Kowalkowski, C. (2017). Pricing strategy: A review of 22 years of marketing research. Journal of Business Research, 78, 101-110.Labaj, M., Morvay, K., Silanic, P., Weiss, C. & Yontcheva, B. (2017, October 4). Market structure and competition in transition: Results from a spatial analysis. Applied Economics, 50(15), 1694-1715.Toni, D.D., Milan, G.S., Saciloto, E.B. & Larentis, F. (2017). Pricing strategies and levels and their impact on corporate profitability. Revista de Administracao, 52, 120-133.

Market Structure and Managerial Decision Making
The objective of this paper is to discuss the concept game theory in the competitive market environment where there are two or more firms competing against one another. The paper cites the examples of Nash equilibrium, prisoner dilemma, and dominant strategy. Moreover, the paper discusses the theory of perfect competition, monopoly, monopolistic market and theory of oligopoly. (Bhat, and au, 2008).

Game Theory

The game theory is a type of situation where the rewards or payoff given to any player depends on the action of the other players. The interdependence between two or more firms is referred as a game theory, and the rewards earned by a firm is known as a payoff, and the payoff matrix assists in analyzing the interdependence between firms. A duopoly is an interdependence between two players that may result in a game theory. However, a relationship between two players can lead…...

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Reference

Bhat, M.S., and Rau, A.V. (2008). Managerial Economics and Financial Analysis, Hyderabad, IND BS Publications, ProQuest ebrary. Web. Retrieved April 20, 2016, Chapter 4: Market Structures, pp. 85-107.

Krugman, P. & Wells, R. (2012). Economics and Microeconomics (Third Edition). Worth Publisher.

Mjmfoodie. (2011). Episode 29 Monopolistic Competition [Video File]. Retrieved from  https://www.youtube.com/watch?v=T3F1Vt3IyNc 

Links to Government Regulation of Monopoly

In conclusion, Mexico operates under a mixed economic system that combines market economy and planned economy elements. This system promotes innovation, balances social responsibilities, and maintains a diverse economic structure. However, drawbacks such as excessive taxation, government monopolies, and ineffective regulations can hinder economic growth. The market structure in Mexico consists of dominant firms in sectors like telecommunications, cement, electricity, and petroleum. This structure impacts output, prices, and profitability, affecting consumers and producers differently based on the type of market power involved, such as oligopoly and monopoly. The COVID-19 pandemic has had both positive and negative impacts on households and....

Economic Systems and Income Inequality: An Exploration

Income inequality, a measure of the unequal distribution of income across individuals or households, is a significant challenge in many societies. While various economic systems may have different approaches to income allocation, they all have an impact on the level and distribution of income inequality.

Capitalist Systems

Capitalist systems, characterized by private ownership of capital and means of production, typically exhibit higher levels of income inequality. In such systems, individuals who own and control capital, such as businesses and investments, generally earn higher incomes than those who work for wages. The unequal distribution of wealth and....

The Indian Railway can be considered a monopoly in terms of being the major player in the Indian rail transportation sector. However, competition is necessary for improvement in terms of efficiency, service quality, and innovation. Introducing competition in certain segments of the railway sector, such as freight and passenger transport, could potentially lead to better services, increased customer satisfaction, and overall improvements in the industry. Therefore, while the Indian Railway may currently function as a monopoly, introducing competition could result in positive outcomes for both the industry and consumers.

Sources

• Competition and Market Structures in Indias Rail Transportation....