Number of Competitors
Definition
Number of Competitors refers to the quantity of firms operating within a specific market, offering similar products or services and competing for customers.
Analogy
Think about being in a race with other runners. The more competitors there are, the harder it becomes to win because you have more people vying for first place.
Related terms
Market Structure: Describes how firms within an industry are organized and how they interact with each other.
Monopoly: A market structure characterized by only one seller dominating the entire market.
Oligopoly: A market structure characterized by few large firms dominating the market and having significant control over prices.
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