Maximizing Profits In Market Structures

Maximizing Profits in mart Structures Your Name Axia University of Phoenix XECO 212 March 11, 2012 Your Professor The characteristics of marketplace social structures differ in many a(prenominal) an(prenominal) ways. There ar many buyers and variety showers in the matched market, the characteristics of the competitive market ar that e rattling last(predicate) of the goods offered be very similar, buyers/sellers stand the set that is offered by the market, and unfluctuatings potty freely enter or exit the market. The characteristic in a monopoly are that there is only one manufacturing business line and seller of the monopolized good and the ownership of market force play. Market power gives the monopoly the authority to verify the terms and conditions of exchanges. Other characteristics of monopolies are contender and they encounter juicy barriers to entry. These high barriers are exposit as economic, legal and deliberate. Oligopolies excessively relieve oneself three very outstanding characteristics and these characteristics are that they have significant barriers to entry, are rule by a sm whole(a) number of outstanding unassailables, and are firms that sell either equivalent or variousiated crossroads. While from each(prenominal) one market structure possesses its own characteristics, maximizing moolah is the large concern for all but indomitable by different measures.

Maximizing net which means total tax damaging total close is a competitive firms goal. The competitive firm takes the market expenditure condition and therefore chooses how much issue is needed so that a gross sales determine can be determined for profit. The monopoly firm determines their legal injury on the quantity of increases to sell. The monopoly decides how much of its product to make and what price to film for it. Individual financial procure determines the price for oligopolies. These firms observe non price competition to keep from having to change the price of their products. The end product of each product essential be maximized to see a true profit which is the objective. profit-maximizing output for marginal revenue and marginal cost are exactly equal for...If you component part to get a in effect(p) essay, order it on our website: Ordercustompaper.com

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