In economics, free entry is a condition in which firms can freely enter the market for an economic good by establishing production and beginning to sell the product. The assumption of free entry implies that if there are firms earning excessively high profits in a given industry, new firms that also seek a high profit are likely to start to produce or change into a production of the same good to join the market. In such a case there are no barriers preventing a start-up firm from competing. Where an opportunity of a profit arises we assume that there will also be firms entering the market for the certain good and compete for it. In most markets this condition is present only in the long run.
The assumption of free entry doesn't mean that a firm is simply able to set up a shop without any costs incurred. It is clear that the new entrant needs to gain the capital that they need for operating in the industry. Therefore, even with a free entry to a market the entrant still has to face the same cost structure as does an already existing firm.
Free entry is part of the perfect competition assumption that there are an unlimited number of buyers and sellers in a market. In conditions in which there is not a natural monopoly caused by unlimited economies of scale, free entry prevents any existing firm from maintaining a monopoly, which would restrict output and charge a higher price than a multi-firm market would.
Free entry is usually accompanied by free exit, under which condition firms that are incurring losses (such as would happen if there are too many firms producing the product so that each is producing too little to be at its minimum efficient scale) can readily leave the market. However, exiting a market may involve abandonment costs.
In economics, freeentry is a condition in which firms can freely enter the market for an economic good by establishing production and beginning to sell...
Look up entry in Wiktionary, the free dictionary. Entry may refer to: Entry, West Virginia, an unincorporated community in the United States Entry (cards)...
or entries that are arranged alphabetically by article name or by thematic categories, or else are hyperlinked and searchable. Encyclopedia entries are...
administrative entry restrictions by the authorities of other states placed on citizens of India. As of 2024, Indian citizens have visa-free or visa on arrival...
types of atmospheric entry: uncontrolled entry, such as the entry of astronomical objects, space debris, or bolides; and controlled entry (or reentry) of a...
administrative entry restrictions by the authorities of other states placed on citizens of France. As of January 2024, French citizens had visa-free or visa...
administrative entry restrictions imposed on citizens of China by the authorities of other states. As of 2024, Chinese citizens had visa-free or visa on arrival...
receiving consideration in exchange for playing the games, resulting in the freeentry alternative which is usually indicated by "No purchase necessary" in the...
and Herzegovina grants visa-freeentry to all Schengen Annex II nationalities except Kosovo and it also grants visa-freeentry to several additional countries...
However, citizens of certain countries or territories are entitled to visa-freeentry with an ID card in lieu of a passport. The visa policy of Albania is based...
announced an expansion of the visa-freeentry options for foreign nationals in Hainan. In addition to the existing visa-freeentry for tourists from 59 countries...
administrative entry restrictions by the authorities of other states placed on citizens of Russia. As of 2024, Russian citizens had visa-free or visa on arrival...
enter, and remain in Malaysia. Most visitors to Malaysia are granted visa-freeentry for a period of 90, 30, or 14 days respectively. However, nationals from...
and expansion of the visa-freeentry options for foreign nationals in Hainan. In addition to the existing visa-freeentry for tourists from 59 countries...
visa-freeentry. Among the countries that have been granted visa-free access under the pilot program, Belarusian citizens are granted visa-free access...
administrative entry restrictions by the authorities of other states placed on citizens of Canada. As of 2024, Canadian citizens had visa-free or visa on...
Entryism (also called entrism, enterism, infiltration, a French Turn, boring from within, or boring-from-within) is a political strategy in which an organization...
similar to the visa policy of the Schengen Area. It grants 90-day visa-freeentry to all citizens of Schengen Annex II, with the exception for Kiribati...
Visa requirements for United States citizens are administrative entry restrictions by the authorities of other states that are imposed on citizens of...
Visa requirements for Filipino citizens are administrative entry restrictions imposed on citizens of the Philippines by the authorities of other territories...
international borders, the concept of a port of entry does not exist or is at least not applied to select countries of free-crossing pacts. Travelers may cross the...
administrative entry restrictions by the authorities of other states placed on citizens of the Republic of Serbia. As of 2024, Serbian citizens had visa-free or visa...
Fictitious or fake entries are deliberately incorrect entries in reference works such as dictionaries, encyclopedias, maps, and directories, added by the...
Look up entry-level in Wiktionary, the free dictionary. Entry Level is the lowest level in the National Qualifications Framework in England, Wales, and...
is similar to the visa policy of the Schengen Area. Serbia grants visa-freeentry to most Schengen Annex II nationalities, except for Brunei, El Salvador...
visas on arrival (VOA), they are granted at a port of entry. This is distinct from visa-freeentry, where no visa is required, as the visitor must still...
passport. However, citizens of certain countries are entitled to visa-freeentry with an ID card in lieu of a passport. Georgia adopted a new law of on...
the entry barrier sufficiently to allow for the production of widely disseminated materials by individuals or small groups. Projects to provide free literature...
were offered refunds and a free return ticket. The hill reopened on 9 August, with an announcement that entry would be free of charge for the rest of the...
Ireland is similar to the visa policy of the Schengen Area. It grants visa-freeentry to all Schengen Annex II nationalities, except for Albania, Bosnia and...
Global Information