marginaalituoton

Marginaalituotto refers to the additional revenue generated from selling one more unit of a product or service. It is a fundamental concept in economics and business, particularly in microeconomics and cost accounting. The calculation of marginal revenue is straightforward: it is the change in total revenue divided by the change in quantity sold.

In a perfectly competitive market, marginal revenue is equal to the price of the product because firms are price takers and can sell as much as they want at the prevailing market price. However, in markets with imperfect competition, such as monopolies or oligopolies, firms face a downward-sloping demand curve. This means that to sell an additional unit, a firm must often lower the price not only for that extra unit but also for all previous units. Consequently, marginal revenue is typically less than the price in these market structures.

Businesses use the concept of marginal revenue to make crucial production and pricing decisions. The principle of profit maximization suggests that a firm should continue to produce and sell units as long as its marginal revenue exceeds its marginal cost. When marginal revenue equals marginal cost, the firm is producing at its optimal output level, achieving maximum profit or minimizing losses. Understanding marginal revenue is therefore essential for effective business strategy and resource allocation.