MODELING OF PRICE-SETTING BY ENTERPRISES IN CONDITIONS OF PERFECT AND IMPERFECT COMPETITION
STRELYUK Oleg – a degree-competitor of the Department of Economy of an Enterprise and Production Management of the Faculty of Management and Information Security, Vinnytsia National Technical University (e-mail: firstname.lastname@example.org).
Theoretical bases of perfect market competition and disadvantages of applying this concept to real cases of market competition on the example of the wholesale market of electricity are revealed. A mathematical pricing model with the use of the average long-term performance of market potential of the enterprise, which retain their properties for a long period of time is suggested. The new model not only provides a description of the existing competitiveness of firms in the market, but also determines the limiting boundaries of perfect competition and monopoly on the existing combination of production and financial capabilities of enterprises, and therefore allows to differentially evaluate each specific practical situation of market competition in the market and to find alternative solutions of pricing.
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071 Accounting and taxation
072 Finance, banking and insurance
076 Business, trade and exchange activities
241 Hotel, restaurant and catering
281 Public administration
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