A small farmer is more likely to operate in a perfectly competitive market than a company like AB

inBev because...

(4 marks)

a) a small business is more likely to keep close control on costs than a large firm.

b) AB inBev employs many people, whereas perfectly competitive firms are owner-managed.

c) the demand for beer is less elastic than the demand for food.

d) a small farmer supplies a small share of market supply.