Chp 7 Vocab

5. Combination of two or more companies into a single firm.
6. Selling a product below cost to drive competitors out of the market.
8. The removal of some government controls over a market. Students
10. The expenses a firm must pay before it can begin to produce and sell goods
13. Laws that encourage competition in the marketplace.
14. A way to attract customers through style, service, or location, but not a lower price.
16. An agreement among firms to divide the market, set prices, or limit production.
17. A market structure in which a few large firms dominate a market

1. A series of competitive price cuts that lowers the market price below the cost of production
2. The right to sell a good or service within an exclusive market.
3. Any factor that makes it difficult for a new firm to enter a market
4. Division of customers into groups based on how much they will pay for a good.
7. A market structure in which many companies sell products that are similar but not identical
9. A market that runs most efficiently when one large firm supplies all of the output
11. The expenses a firm must pay before it can begin to produce and sell goods
12. A product that is the same no matter who produces it, such as petroleum, notebook paper, or milk
15. A license that gives the inventor of a new product the exclusive right to sell it for a certain period of time.
16. A formal organization of producers that agree to coordinate prices and production.