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Differentiating Between Market Structures Final Paper

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Differentiating Between Market Structures
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September 7, 2015

Differentiation Between Market Structure
Market structure in economics is the quantity of organizations manufacturing duplicate products, which are similar as well in price. In the market, the performances of single organizations are critically swayed by market structure. Market structure consists of a Monopoly, Oligopoly, Monopolistic Competition, and Perfect Competition structure. These structures affect how market equilibrium is recognized.
Monopoly: A monopoly is a firm that has no opponents in its business. It decreases output to increase revenue and increase profits. An example of monopoly is the U.S. Postal Services.
Oligopoly: An oligopoly is an business with only a small number of organizations that can decrease the amount produced and increase revenues in the same manner a monopoly does. An example of Oligopoly is AT&T and T-Mobile. Monopolistic competition is an industry that covers numerous competing firms, which has a similar but somewhat different product. An example of monopolistic competition is wholesale retailers.
Perfect Competition: Perfect competition: Perfect competition occurs the minute several small firms compete against each other. An example of a perfect competition is agricultural farms.
History of Costco
The entire history of Costco began with Sol Price and his son, Robert, opening the first Price Club warehouse on July 12, 1976 on Morena Boulevard in San Diego, California, thus giving birth to a very new concept: a retail warehouse club. The Price family placed Price Club Warehouse #1 inside a series of old airplane hangars previously owned by Howard Hughes; that warehouse, now known as Costco Warehouse #401, are still in operation today. The current Costco is headquartered in Issaquah, Washington, United States and was founded as Price Club on…...

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