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Nowadays in every single business there will be a competitor, which means every single company in a market faces competition from other companies. In economics there is a model, which is highly idealized form of competition called “perfect” by economists. Perfect competition is a model of the market based on the assumption that a large number of firms produce identical goods consumed by a large number of buyers. The model of perfect competition also assumes that it is easy for new firms to enter the market and for existing ones to leave.…
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