The document describes different types of market structures: perfect competition where many buyers and sellers transact standardized products at a single market price; monopoly where a single seller dominates the market and can set a profit-maximizing price; monopolistic competition where many firms offer similar but differentiated products giving them some monopolistic power; and oligopoly where a small number of large firms control the market and can influence prices. It also mentions factors like costs of production, customer demand in response to price, distribution costs, and existing market competition that influence business pricing and promotion decisions.

11. Buyers and many sellers
all dealing in an identical
product. Neither producer
nor user has any market
power and both must
accept the primary market
price.

12. One seller who dominates
many buyers. The
Monopolists can use this
market power to set a
profit-maximizing price.

13. Large number of suppliers
offer similar but not
identical products. These
slight differences give
monopolistic power to the
supplier.

14. Relatively few competitive
companies dominate the
market, with each company
having the ability to
influence the market price.

15. Total cost of materials, energy
and labor to produce a
good/service.

17. Since pricing affects if and how
much of a good/service a customer
will buy; the price will also be part
of the decision to make/sell certain
products.

18. Shipping long distances can cause
the price of the product to rise.
Understanding this cost and what
customers are willing to buy are part
of the decision in distribution.

19. When determining price and
promotion plans, businesses have to
consider the type of market and
competition that currently exist.