What laws in network economics do the characteristics of perfectly competitive markets embody?

The first step is to create differentiation, that is, to deliberately choose a different set of business activities to create a unique value mix. Thinking about operational effectiveness is like thinking about how to do one's job well, it involves how to make oneself good and what each business should do and how to do it; Thinking strategy, on the other hand, is a person's thinking about what should be their job, and this thinking is based on cost and difference, and it is about making a difference through careful choice. Or, operational effectiveness tells you what to do with your business, while strategy tells you what to do that is more valuable to you.

There's a good saying,"The more national it is, the more global it is"。Strategy must represent a value proposition that differentiates itself. This value proposition is related to the individuality of Kmind Consulting, which is a professional....

1. The economic efficiency of the perfect competition market is the highest, and the economic benefit of the complete monopoly market is the lowest.

2. The complete monopoly market is an extreme form of market type that is opposed to the perfectly competitive market. A complete monopoly market is also called a pure monopoly market, which is generally referred to as a monopoly market. The word monopoly comes from the Greek word meaning "a seller", that is, a single person controls the entire market supply of a product.

Thus, a complete monopoly market is a type of market with only one supplier. There are many reasons for the formation of monopoly markets, and one of the most fundamental reasons is to establish and maintain a legal or economic barrier. Thus preventing others from entering the market in order to consolidate the monopoly position of the monopoly.

As the only supplier of the market, monopoly can easily control the quantity of a certain product in the market and its market, so that monopoly profits can be obtained continuously.

3. Under the conditions of perfect competition in the market, the demand curve of manufacturers is a horizontal line, and the long-term profit of manufacturers is zero, so in the long-term equilibrium of perfectly competitive manufacturers, the horizontal demand curve is tangent to the lowest point of the LAC curve; The equilibrium of the product is the lowest, which is equal to the lowest average cost of production; The balanced yield of the product is the highest.

4. The difference between a completely monopolistic market and a perfectly competitive market is:

1) Different resource utilization.

Under perfect competition, each vendor operates at the lowest point of the long-term and short-term average cost. Under monopoly conditions, although the factory used by the manufacturer produces long-term equilibrium output at the lowest average cost, the factory itself is not the factory with the lowest possible average cost. Generally speaking, if a monopoly expands its long-term equilibrium output, it will be able to take advantage of factories with lower average costs.

2) ** and the yield is different.

In a perfectly competitive market, the manufacturer's demand curve is a horizontal line, and the manufacturer's long-term profit is zero, so in the long-term equilibrium of the perfectly competitive manufacturer, the horizontal demand curve is tangent to the highest point of the LAC curve; The equilibrium of the product is the lowest, which is equal to the lowest average cost of production; The balanced yield of the product is the highest. In the monopoly market, the firm obtains profits in the long run, so in the long-term equilibrium of the monopoly firm, the relatively steep demand curve that slopes to the lower right intersects the LAC curve; The product has the highest equilibrium ** and is greater than the average cost of production; The equilibrium quantity of products is the lowest.

3) The net loss caused by monopoly is different.

4) The welfare effects of mergers are different.

Answer] :(1) Monopolistic competition is a form of market organization between perfect competition and complete monopoly, in which there is not only fierce competition, but also the factor of filial piety and monopoly. A market of monopolistic competition refers to a market that has both monopoly and competition, is neither perfect competition nor complete monopoly, and is a market between perfect competition and complete monopoly.

Its basic characteristics are as follows:

There are a large number of manufacturers in the market, and there is fierce competition among them.

There are differences in the products produced by manufacturers, or "heterogeneous goods".

It is relatively easy for manufacturers to enter or exit the industry, and the liquidity of resources is strong.

2) the economic efficiency of monopolistic competition. Compared to a perfectly competitive market and a completely monopolistic market:

Under monopolistic competition, the cost is high, the lowest point is not reached, and there is a waste of resources.

Under monopolistic competition, the ** is relatively high, and the corresponding output is low, which is not good for consumers. However, this does not lead to the conclusion that a perfectly competitive market is superior to a monopolistic competitive market. Because although the average cost in the monopolistic competition market is high and resources are wasted, consumers can get products with different differences, so as to meet different needs.

Moreover, the output in the monopolistic competition market is higher than that in the fully monopolized market, but it is lower. In particular, monopolistic competition is conducive to encouraging innovation.

Therefore, many economists believe that the benefits of monopolistic competition still outweigh the disadvantages on the whole.

According to the situation of the supplier of the product or service (i.e. the competitive situation in the market).

1. Completely competitive market.

2. Complete monopoly of the market.

3. Monopolize the competitive market.

4. Oligopoly market.

The market may be subject to changes due to the products (goods, services) or factors (labor and capital) sold, product differentiation, place of exchange, purchaser targeting, duration, sales process, regulation, taxes, subsidies, minimum wage, cap, transaction legality, liquidity, speculative intensity, size, concentration, transaction asymmetry, relative, volatility and geographical extension.

The geographical boundaries of the markets can vary greatly, such as the food market in a single building, the real estate market in the local city, the consumer market of the entire country, or the economy of the international ** group to which the same rule applies always. The market can also be global, such as Global Diamonds**. A country's economy can also be divided into developed markets or developing markets.

The market is divided into four market types: perfectly competitive market, monopolistic competitive market, oligopoly market, and complete monopoly market.

Among the four types of market structures, perfect competition is the most fully competitive, there is no competition in a completely monopolistic market, and monopolistic competition and oligopoly have competition but insufficient competition.

Basis for division: 1. The number of producers or enterprises in the industry. If there is only one enterprise in the industry, it can be divided into a complete monopoly market; If there are only a few large enterprises, it is an oligopoly market.

If there are a large number of enterprises, they can be classified as a perfectly competitive market or a monopolistic competitive market. The greater the number of companies in an industry, the more fierce the competition; Conversely, the smaller the number of enterprises in an industry, the higher the degree of monopoly.

2. The degree of product difference between the producers of various enterprises in the industry. This is the main way to distinguish between a monopolistic competitive market and a perfectly competitive market.

3. The size of the barrier to entry. The so-called barriers to entry refer to the resistance that a SHKP enterprise encounters in order to enter a certain industry, and it can also be said to be the difficulty of resource flow. The smaller the barriers to entry in an industry, the higher its degree of competition; Conversely, the greater the barrier to entry in an industry, the higher its degree of monopoly.

Perfectly competitive market, complete monopoly market, monopolistic competitive market and oligopoly market,

In traditional economics, the theory of equilibrium between supply and demand is the most basic theory, and the market equilibrium is determined by both the supply curve and the demand curve. The market supply curve gives the amount of one item that all manufacturers in the economy are willing to produce on each **. As the ** rises, so does the quantity of supply, so it appears to be sloping upwards on the curve.

The demand curve of the market gives the number of items that all individuals in the economy need on each **, and it is usually sloping downward. The market equilibrium is at the intersection of the demand curve and the supply curve. At this point, the marginal cost of the vendor is equal to the marginal benefit.

The supply and demand curve reflects the law of "diminishing marginal returns" in economics, that is, every time a manufacturer produces an additional product, the market ** declines, while the cost of production remains almost constant, so in the end, the market always brings less and less benefits. These traditional economic theories have been used to this day, and they have played an indelible historical role in the analysis of many economic phenomena in reality. Today, however, there is a huge challenge, and that is the great challenge posed by the practice and performance of the "network economy" built on the basis of the network.

After the network economy has generalized the characteristics of high fixed costs and low marginal costs of some traditional industries, a new view has finally been formed, that is, the network economy has broken through the law of "diminishing marginal returns", and even "negated" the law of supply and demand.

In the network economy, the core competitiveness of monopolies is (b technology and standards).

Extended reading: Under the network externality and positive feedback effect, this product generates greater value for users by expanding the network. In fact, standards have become the core competitiveness of enterprises, and enterprises control product standards, which also establish their monopoly position in the market, and to a large extent manipulate the direction of product development, so that potential entrants are in a passive position in the competition.

Science and technology are the primary productive forces, and whoever has excellent technology can lead it'First.