Ans: A perfectly competitive market exhibits the following characteristics. i) Every category has many sellers and buyers. ii) All companies have access to the market without any transport costs. iii) Multiple choices for similar products. iv) All the products are homogeneous. It means as every product has the same properties, a uniform price can be achieved. v) There is no price control and the producers can set the prices as per the market demands and supply chains that are available. vii) Sellers or buyers are well-informed and are free to make decisions based on their knowledge of the market.