When a single person (or small group) has the ability to influence market prices, there is a

• The correct answer is b: market power.

Market power refers to an organization's ability to control the price of goods and services within a market. Market power may result from a firm's ability to consume or produce a large percentage of products within a market, thus affecting or having an enormous impact on the demand and supply of the commodity within the market. This trait is most common in monopoly markets, which are controlled by a single firm. Market power gives a firm more priority over others in a market. In perfectly competitive markets, all firms have the same market power.