CUET Preparation Today
| In a perfectly competitive market, an individual firm's inability to sell any amount of the good at a price exceeding the market price is |
Price taking behavior Price setting behavior Price giving behavior Price defying behavior |
| Price taking behavior |
| A price-taker is an individual or company that must accept prevailing prices in a market, lacking the market share to influence market price on its own. Due to market competition, most producers are also price-takers. A price-taking firm believes that if it sets a price above the market price, it will be unable to sell any quantity of the good that it produces. |
