Imperfect competition (as opposed to perfect competition) is a competitive market situation in which there are many sellers, each of whom has a relatively small market share, offering dissimilar goods. Firms have some control—but not necessarily absolute control—over price, by such techniques as differentiating products and limiting supply. Monopoly, oligopoly, monopolistic competition, monopsony, and oligopsony are examples of imperfect competition.
- ^ American Marketing Association. AMA Dictionary.
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