2. What are the supply conditions in this market? Are there many producers or just a few…..is it perfect competition, monopoly, monopolistic competition or oligopoly….and what does this imply for understanding the way in which rival suppliers interact? Is there aggressive price competition or do competitors seek to preserve fat margins? Are there barriers to entry: patents, brands, economies of scale etc. Is there competition in this product area to develop new technologies? Is there any government role in the market, e.g. regulation, protection or government production?
