In a perfect competition, there are buyers and sellers of products, and there is entry and exit in the market.

In a perfect competition, there are many buyers and sellers of products, and there is free entry and exit in the market.

Explanation:

Perfect competition is a model of economics in which no player alone can influence a product's market price.  

Perfect competition means that all players in the market have perfect information, that is, know everything about everyone. For example, the condition and price of the goods.

Perfect competition requires that the product is homogeneous. The customer should be able to find similar goods, such as strawberries, at many sellers. The price of the product is not regulated by an individual producer or consumer but instead it is the supply and demand that controls the sales. In places such as malls and squares where the sales outlets are close, conditions can prevail that closely approximate perfect competition.

However, perfect competition is never achieved, which is due, among other things, to market failures, conditions that prevent the pricing mechanism from setting proper prices. Perfect competition means, paradoxically, that there is a total lack of direct competition between the players. The players do not compete with each other, but only adapt to the major changes that are happening in the market. The value of the model lies in the fact that it enables calculations for actual economic conditions, such as how the use of resources should be most effective.