Assume you are graduating from Holmes Institute and that you want to begin a business in Australia. You are aware that there are four different market structures and that some structures are hostile to new products and services. You decide upon Australia as a location for an Asian fast-food theme restaurant because you have expertise in that sector and you believe that it will be popular. You have also considered the four market structures: perfect, monopolistic, oligopoly and monopoly competition. You decide on one of the structures.

1. Describe each of the four market structures and explain how each one may be conducive to starting your new Asian themed small business. (8 marks)

2. Suppose you start your business within a monopolistic market structure. How is that structure advantageous to your proposed business and how would it affect the future growth of your business? (3 mark)