Barriers to entry refer to the conditions or obstacles that make it difficult for new competitors to enter a particular industry or market. These barriers can be financial, regulatory, technological, or cultural, and they protect established players from new competition.
An increase in the sales capabilities of a company, often necessary to meet new competitive demands or to open new markets. Expansion can also be the result of high profits, which provide the capital base for increasing the size of the business.
A market condition wherein no buyer or seller has the power to alter the market price of a good or service. Characteristics of a perfectly competitive market include a large number of buyers and sellers, a homogeneous good or service, equal awareness of prices and volume, absence of discrimination in buying and selling, total mobility of productive resources, and complete freedom of entry. Perfect competition exists only as a theoretical ideal, also called pure competition.
