Flora Cult Inc. ,an exporter of flowers across the globe,operates in an industry where there are many sellers and buyers.This makes it difficult for any one single seller or buyer to influence the market price of the flowers.Also,it is difficult for sellers or exporters to differentiate their products from each other.What type of market structure does this illustrate?

Question

Quizplus · Accepted Answer

The presence of many sellers and buyers and the difficulty in differentiating products suggest a market structure of pure competition, where there is a large number of firms that produce standardized products and have no influence on the market price.