Question

Coffee bean producers in the country of matterstein grow their own coffee beans and supply them to various stores and restaurants all over the country. there are many producers supplying to a huge number of companies, and they are typically unable to differentiate their products from each other. they also do not have the power to fix their own prices in the industry. in addition, these suppliers can only achieve competitive parity and not a competitive advantage. thus, the coffee bean industry in matterstein best illustrates a(n)___ structure.

Answer 1

The coffee bean industry in Matterstein best illustrates a perfecty competitive structure.
A perfectly competitive structure is a ideal market structure in which competition is at its greatest possible level. There is a large number of buyers and sellers in this market . In our case there are many producers supplying a huge number of companies. Also homogenous product is produced by every firm.