Competition (economics)

Competition (economics) is a situation between different companies, businesses, or people when they are competing with each other to get customers or buyers. This kind of competition usually leads to lower prices and better products because each company wants to be the best. For example, if two restaurants are in the same town, they will both want people to come to their restaurant. So in order to get people to choose their restaurant, they might both offer the same meal for a lower price. If the customers like the lower price and better meal, then the restaurants will have to compete even more and make their meals even better in order to win customers.