Get expert advice and insights on any topic with IDNLearn.com. Discover reliable and timely information on any topic from our network of knowledgeable professionals.
Sagot :
For businesses to be profitable, there are numerous avenues to take. In completely competitive markets where profit-maximizing enterprises are making a profit, new businesses will enter the market.
What is Perfectly competitive market?
Perfect competition occurs when all businesses sell the same goods, market share has no bearing on prices, businesses can enter or quit without any restrictions, consumers have complete or perfect information, and businesses are unable to set prices.
Simply expressed, profit maximization is the process that businesses use to determine the prices, inputs, and output levels that typically result in the most profit. This process can be short-term or long-term.
The marginal revenue must equal the marginal cost (MR=MC) for businesses to maximize profits in a fully competitive market. The revenue curve's slope, known as MR, is typically equal to the slopes of the demand and price curves (P).
To know more about Perfectly competitive market visit:
https://brainly.com/question/25716386
#SPJ4
Your participation is crucial to us. Keep sharing your knowledge and experiences. Let's create a learning environment that is both enjoyable and beneficial. Trust IDNLearn.com for all your queries. We appreciate your visit and hope to assist you again soon.
