What is the term for the competition among producers to attract consumers?

The term that describes the competition among producers to attract consumers is competition. In a competitive market, multiple producers vie for the attention and purchasing decisions of consumers by offering better quality, lower prices, or unique products. This rivalry encourages innovation and efficiency, benefitting consumers through variety and often lower prices as firms strive to gain market share.

Collusion refers to a scenario where producers work together to set prices or limit production, which undermines competition. A monopoly occurs when a single producer dominates the market, leaving no room for competition, while an oligopoly involves a few firms that dominate a market, which can lead to similar collusive behavior. In contrast, competition emphasizes the active engagement of many producers trying to appeal to consumers, making it the correct term for this dynamic.