Question

Which of the followingis an example of competition in the marketplace?

a. two high schools have excellent football teams.
b. a town has only two grocery stores, which are located one block away from each other.
c. two neighbors buy the same model of automobile.
d. two farms are separated by a stream that provides water for the cattle raised on each farm.

Answer 1

b. a town has only two grocery stores, which are located one block away from each other.

Answer 2

The answer is B. A town has only two grocery stores, which are located one block away from each other.

Step-by-step explanation:

In business, competition refers to the process several companies selling the same product, or offering the same services, that is, two or more businesses that are competing in the same industry.

In this example, both grocery stores offer similar products and are competing in the grocery store business. For consumers, business competition is positive because it helps regulate prices and set high quality standars.